LONDON: Global marketing activity is expanding at a steady pace with the focus continuing to be on digital and mobile, according to the latest Global Marketing Index (GMI).
August's headline GMI of 55.1 was little changed from the previous month – a reading of 50 indicates no change and 60+ suggests rapid growth – and with a GMI value of 56.4 points, Europe continued to outpace Asia Pacific, on 54.3, and the Americas, on 54.5.
The last figure, however, disguised the very differing performances of North America and South America: the former's headline GMI of 60.9 showed very strong growth while the latter's GMI of 42.0 highlighted the fact the region is in recession.
Compiled by World Economics, the GMI provides a unique monthly indicator of the state of the global marketing industry because it tracks current conditions for marketers as well as their expectations for budgets and staffing levels.
Looking at marketing budgets by medium, digital advertising registered a high index value of 73.8 globally, with mobile not far behind on 71.0.
Even South America performed strongly in digital with an index value of 61.3, which compared favourably with the 71.5 registered in North America. The same could not be said of mobile, however, where South America's index value stood at just 45.2.
Traditional media saw further decline in August, with the allocation of marketing budgets assigned to TV scoring an index value of 45.3 on a global measure.
South America hit a low of 29.0 but Europe continued to grow, albeit weakly, returning a figure of 52.4. TV budgets in Asia Pacific were seen to be falling, with an index value of 45.3.
World Economics deduced that, at the current rates of growth, digital and mobile should have the largest share of marketing budgets by 2016, after being close to zero at the Millennium.
"The revolution in media allocation caused by the rapid expansion of new media marketing (digital and mobile) is still pushing traditional media budget share downwards as media budgets change shape," said Ed Jones, World Economics chief executive.
Data sourced from World Economics; additional content bty Warc staff