Are Companies Putting Their Ad Dollars to Work?

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March 5 (Bloomberg) -- Bloomberg Businessweek's Eric Chemi and MDC Partners CEO Miles Nadal discuss the state of the advertising industry with Matt Miller and Trish Regan on Bloomberg Television's "Street Smart." (Source: Bloomberg)

The idea that it is not changing.

Class as a percent of gdp, we saw the chart.

It is one percent and oh it has been that way for a century you compare it to industries like the financial and insurance industries and we have seen a triple.

We have seen manufacturing the down and technology go up.

They have been flat one percent.

It is counterintuitive.

You think of that growing right now because of social media and online advertising.

It will grow with the economy.

You expect three or four percent growth.

That is about what we expect with the economy.

Qwest there's one thing you're not considering.

Earned media is not part of measured media.

All social media, facebook, twitter, youtube, that stuff, that stock -- that is part of it.

Other parts are flat.

He earned media part is growing.

If you factored the economic value of earned media, it probably doubled in the last five years.

Would you think that is their?

That is what i wanted to ask you about.

You see a lot of consolidation happening from the nonworking dollars base.

The strategy of additional and all the stuff that does not get measure.

Qwest absolutely.

If you take a look at it, facebook has 1.1 billion users.

60% of its revenue now is mobile advertising.

Up from virtually 03 years ago.

Twitter has got 650 million.

50% of its subscribers are our mobile customers.

Mobile advertising is growing.

I see, as he said, it is changing share.

Going from traditional media to social, mobile, experiential, analytics.

The size of the pie is getting bigger and bigger.

Qwest yes.

It is not growing as a percentage of gdp but in proportion to gdp.

It grossed three percent this year.

It will grow three percent to four percent.

Qwest do you need to acquire more at companies in order to gain more market share?

In our particular case, we are counterintuitive.

When others are fearful, you should be greedy.

When others are greedy you should be fearful.

In 2001, we were very ambitious.

In 2001 -- in two oven a, ambition came.

Are you feeling ambitious now?

We thank you very much.

The head of research at bloomberg businessweek.


This text has been automatically generated. It may not be 100% accurate.


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