Hollywood's Web Spend Lags Behind Adoption

  |  September 22, 2006   |  Comments

Google funds a study that discovers in the film going populace a great reliance on the Web.

Hollywood is not spending nearly enough to promote its movies online.

That is the main conclusion of a new study by MarketCast, a market research firm servicing the global entertainment industry.

The study, titled “The Internet and Moviegoing: A Benchmark Study on Influences and Opportunities,” was funded by Google and prepared in conjunction with the Motion Picture Association of America and Variety magazine. It was conducted in July and August and its conclusions were based on a survey of approximately 2,100 moviegoers 13- to 49-years-old, reached via telephone and the Internet.

Approximately one-third of respondents were classified as “moviegoing infoseekers” who used the Internet to research a movie before deciding to go see it. The remaining two-thirds were classified as “traditional” moviegoers, says David Fleck, industry marketing manager for media and entertainment at Google.

According to the study, television advertising, trailers and word-of-mouth were the most important sources of “first awareness” of a movie by a potential customer.” But in the time between first awareness and a movie ticket purchase, MarketCast found that the Internet plays a crucial role in helping people decide which movie to see.

Internet sources -- search engines, general portals, entertainment Web sites, specific movie sites and ticketing sites -- were the most influential media for more than one third of Infoseekers when they were deciding which movie to see. Less than half of Infoseekers cited television as the most influential medium in their purchase decisions. By comparison, among Traditional moviegoers, seven percent cited the Internet as the most influential medium and 70 percent cited television.

MarketCast also found that Infoseekers are four times as likely as Traditional moviegoers to get their first awareness of a movie from the Internet (16 percent versus four percent). Moreover, Infoseekers are one third less likely than Traditional moviegoers to get their first awareness of a movie via television (32 percent versus 48 percent), the study showed.

But while the study showed that the Internet was the most influential driver of movie ticket purchases for 17 percent of all respondents, movie companies spend only 2.6 percent of their marketing budgets online, Fleck says.

“Years ago marketers viewed the [Internet] medium itself as the experiment. Now they realize the experiment is the marketing mix” of online, print and TV, Fleck says.

The optimal media mix remains to be figured out, Fleck concedes. Yet, at least for the Internet’s best portion of a marketing budget, he adds, “I think it’s safe to say it is north of 2.6 percent.”

ClickZ Live San Francisco This Year's Premier Digital Marketing Event is #CZLSF
ClickZ Live San Francisco (Aug 11-14) brings together the industry's leading practitioners and marketing strategists to deliver 4 days of educational sessions and training workshops. From Data-Driven Marketing to Social, Mobile, Display, Search and Email, this year's comprehensive agenda will help you maximize your marketing efforts and ROI. Register today!

ABOUT THE AUTHOR

COMMENTSCommenting policy

comments powered by Disqus

ClickZ Today is our #1 newsletter.
Get a daily dose of digital marketing.

COMMENTS

UPCOMING EVENTS

Featured White Papers

BigDoor: The Marketers Guide to Customer Loyalty

The Marketer's Guide to Customer Loyalty
Customer loyalty is imperative to success, but fostering and maintaining loyalty takes a lot of work. This guide is here to help marketers build, execute, and maintain a successful loyalty initiative.

Marin Software: The Multiplier Effect of Integrating Search & Social Advertising

The Multiplier Effect of Integrating Search & Social Advertising
Latest research reveals 68% higher revenue per conversion for marketers who integrate their search & social advertising. In addition to the research results, this whitepaper also outlines 5 strategies and 15 tactics you can use to better integrate your search and social campaigns.

WEBINARS

Jobs

    • Customer Service Representative
      Customer Service Representative (Common Sense Publishing) - Delray BeachDo you thrive on chaos? Love to multi-task? Enjoy a fast paced work environment...
    • Business Intelligence and Reporting Analyst
      Business Intelligence and Reporting Analyst (Stansberry and Associates) - BaltimoreStansberry and Associates is seeking a driven individual to fill...
    • Internet Marketing Campaign Manager
      Internet Marketing Campaign Manager (Straight North, LLC) - Fort MillWe are looking for a talented Internet Marketing Campaign Manager to join the...