Don't kill the goose

Johannesburg - Though new media will be the main source of growth in the technology, media and telecommunications sector worldwide, traditional media remain dominant, enjoying high consumer affinity. That's the conclusion of the latest Deloitte survey on global trends in consumer media choices.

But while the influencer role of the internet is indisputable, there are serious questions about the effectiveness of online advertising.

"We call the digital world a media democracy, because consumers vote with their feet and wallets for new content types, media devices, distribution platforms, advertising models and pricing structures," says Deloitte TMT leader for southern Africa, Mark Casey.

"Also, with the rise of the internet and social media, every individual now has the power not just to consume content, but to produce it as well."

The survey quizzed 13 000 consumers in seven countries – not including South Africa.

TV remains the most popular media platform, but increasingly viewers are using delayed viewing of recorded programmes. To remain competitive, TV will need to find new ways of combining with the Internet platform, says Casey.

The survey found that traditional forms of advertising continue to have the most influence and impact with consumers. TV remains the biggest by a wide margin, but its lead is shrinking.

The impact of social media is enormous, and its use continues to rise across demographics. Social media is already the fourth most popular internet activity, behind search, email and news. It's seen as a potential alternative to online advertising.

Consumers in most countries say that online reviews and ratings influence their buying decisions more than any form of internet advertising. "This suggests that social media – not traditional online advertising – might be the best way to promote products on the internet," says Casey.

 - Fin24