Publishers no longer face the disappearance of wireless telco ad budgets.
The unraveling of AT&T's $39 billion bid to acquire T-Mobile, reported today by the Wall Street Journal, is a happy development for online media sellers - who will be spared the merger of two large ad budgets.
AT&T is the second largest U.S. advertiser across all media and the sixth largest buyer of online ads. It spent $186.8 million on paid search and display advertising during the first nine months of 2011, according to Kantar Media. That's 11 percent more than it forked over in 2010 - all the more remarkable when you consider that the company's ad spend slowed dramatically in the weeks after it inked the agreement to buy T-Mobile. (According to Kantar, T-Mobile and AT&T both increased their media spending as government approval of their deal looked doubtful.)
Meanwhile T-Mobile is a smaller but still important source of demand for display ad sellers. The wireless brand boosted its online display spending significantly in each of the last two years, spending 37.4 million in 2009 and $53.8 million in 2010 (see chart below).
While one can't be sure the companies would have reduced their combined marketing spend post-merger, that's typically been the way with such deals.
| T-Mobile Online Display Ad Spending|
|Annual in Millions, 2006-2010
|Data provided by Kantar Media, 2011|
Join the Industry's Leading eCommerce & Direct Marketing Experts in Chicago
ClickZ Live Chicago (Nov 3-6) will deliver over 50 sessions across 4 days and 10 individual tracks, including Data-Driven Marketing, Social, Mobile, Display, Search and Email. Check out the full agenda and register by Friday, Oct 3 to take advantage of Early Bird Rates!
Until March 2012, Zach Rodgers was managing editor of ClickZ's award-winning coverage of news and trends in digital marketing. He reported on the rise of web companies, data markets, ad technologies, and government Internet policy, among other subjects.
IBM Social Analytics: The Science Behind Social Media Marketing
80% of internet users say they prefer to connect with brands via Facebook. 65% of social media users say they use it to learn more about brands, products and services. Learn about how to find more about customers' attitudes, preferences and buying habits from what they say on social media channels.
An Introduction to Marketing Attribution: Selecting the Right Model for Search, Display & Social Advertising
If you're considering implementing a marketing attribution model to measure and optimize your programs, this paper is a great introduction. It also includes real-life tips from marketers who have successfully implemented attribution in their organizations.
October 23, 2014
1:00pm ET/10:00am PT