Intel shifts ad spend to the online channel
The Intel Corporation is shifting the focus of its annual $300 million ad spend from TV and print to more online advertising, such as search and banner, for its "Intel inside" ad partners.
In 2008, Intel will require companies that take part in the program to spend a minimum of 35% of the money Intel provides to them online.
The shift is due to consumers looking more to the online channels when shopping for Intel and computer products. Intel conducted a survey on how consumers are influenced in their buying decision and found that three out of four out of the top sources are connected to online media. Search engines, blogs and Web sites are the biggest influencers.
"Marketers are trying much harder to better distribute their dollars across the media channels that their customers are using more of," said Shar Van Boskirk, analyst at Forrester Research. "This is an excellent opportunity for [Intel] to connect with the customers directly."
Intel Inside is a co-op marketing program supported by thousands of PC makers, including Dell and Sony, who are licensed to use the Intel Inside logo.
For its own ad program, Intel plans to spend to more than half of its ad dollars online, up about 15% compared to two years ago. McCann Worldgroup handles advertising for Intel.