CHICAGO, Aug. 29, 2017 /PRNewswire/ -- A second quarter survey conducted by Strata, the leader in advertising software, found the number of advertising agencies anticipating slower growth in the second half of 2017 compared to the first half increased by 158% from the previous quarter. 41% said winning new business is their main concern, while 23% reported client spending as their biggest concern. 66% of agencies expect their budgets to stay the same or decrease, while 28% expect an increase. Only 25% anticipated the need to expand staff, a 35% decrease compared to the previous quarter.
"The advertising economy quarterly results, at first glance, are pretty bleak. However, when put in perspective, 2016 was a banner year with the US Elections and the Olympics. Even without general economic uncertainty it would be difficult to sustain that type of growth," said Judd Rubin, Senior Vice President at Strata.
When it comes to projected platform use, social media has seen a shakeup. Facebook remains perched on top on top with 97% of agencies intending to use it, but Instagram's projected usage has risen to 64%. YouTube has fallen to 3rd at 60%, and Twitter remains in 4th with 38%.
In spite of these shifts,, ad spend on social media has not moved significantly. While 22% of agencies allocate 11-25% of their budgets on social, 74% plan to spend less than 10%.
Focus on traditional media remains strong, with 66% reporting their client's interest in network TV & cable remained the same when compared to last year. The same could be said for radio at 63%, local TV and cable at 62%. In other forms of media, 76% indicated that their clients were showing a greater interest in digital video, while 78% reported a grown desire of their clients to advertise more on mobile. Nearly half (46%) of agencies also reported that their clients were curious to explore new live streaming technologies such as Facebook Live to spread their campaigns.
The solutions that Strata provides empowers clients to buy and sell all media types including cable, broadcast, newspaper, radio, outdoor and digital advertising mediums. On average, over $50 billion in advertising dollars flow through Strata systems per year. As the system of choice for over 1,000 agencies in the United States, Strata provides media technology that enables organizations to lead rather than react to industry developments. By transforming the way advertisements are placed and tracked, Strata adds a new level of transparency to campaigns that is necessary in the ever-evolving media world. Strata is a Comcast Advanced Advertising company. For more information, visit www.gotostrata.com.