Traditional marketing & advertising practices are becoming obsolete

A short break from the Turkish best practices (I can't find the necessary time to publish a post as I am quite busy working day & night on my 2007 marketing plan presentations. Sorry for this.):

Advertising Age - New Book Reports 37% of All Advertising Is Wasted:

Five-Year research project tracked $1 billion in spending by 36 major marketers. John Wanamaker was wrong. Only 37.3% of advertising budgets are wasted.

The findings of 'What Sticks' are the result of five years of research on campaigns from 36 of the nation's top advertisers.

Another piece of news:

Advertising Age - McKinsey Study Predicts Continuing Decline in TV Selling Power

A study is about to give Madison Avenue a fresh pummeling: McKinsey & Co., the global giant in management consulting, is telling a host of major marketers that by 2010, traditional TV advertising will be one-third as effective as it was in 1990.

That shocking statistic, delivered to the company's Fortune 100 clients in a report on media proliferation, assumes a 15% decrease in buying power driving by cost-per-thousand rate increases; a 23% decline in ads viewed due to switching off; a 9% loss of attention to ads due to increased multitasking and a 37% decrease in message impact due to saturation.

"You've also got pronounced changes in consumer behavior while they're consuming media," said Tom French, director at McKinsey. "And ad spending is decreasingly reflecting consumer behavior."

According to the report, real ad spending on prime-time broadcast TV has increased over last decade by about 40% even as viewers have dropped almost 50%. Paying more for less translates into a much higher cost-per-viewer-reached -- a trend also true in radio and print. Teens turn from TVThank a combination of older technologies such as cable, PC computers, cellphones, CD players, VCRs, game consoles and the internet, along with more recent ones -- PDAs, broadband Internet, digital cable, home wireless networks, MP3 players, DVRs and VOD-- for those changes. And teens foretell an even more radical shift in future media consumption, the report points out: They spend less than half as much time watching TV as typical adults do. Teens also spend 600% more time online, surfing the web. According to Forrester Research's most recent North American Consumer Technology Adoption Study, people ages 18 to 26 spend more time online than watching TV and are adopting new technology faster than any other generation. Because of that, they tend to be more receptive to blog, podcast and mobile-web ads. That leads one to wonder whether consumer marketing mixes should change to reflect consumer behavior.

Fact #1: Half the money spent on advertising is still wasted.
Fact #2: Traditional marketing & advertising practices are becoming obsolete.

Long live WOMM!