Hi!
I continued my search and found some more relevant information.
It appears that funding for experiential marketing efforts comes out
of each company's marketing and/or communications budgets
Excerpts:
??the best way to attract and retain customers is to create
experiences within them. Knowing this, many companies have begun to
establish location-based experiences, like General Mills' Cereal
Adventure at the Mall of America, Heineken's new Heineken Experience
in Amsterdam, LEGO's multiple LEGOland theme parks, Pleasant Company's
American Girl Place off Chicago's Magnificent Mile, and Volkswagen's
Autostadt in Wolfsburg, Germany.?
?Tellingly, the money for such experiences often comes out of each
company's marketing and/or communications budgets.?
Event Marketer: Getting Serious About Experiences
http://www.eventmarketer.com/index.php?id=478&backPID=513&swords=gilmore&tt_news=21
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Ford Motor Company's Mercury division is funding their digital and
experiential marketing with almost 25 percent of their total marketing
communications budget.
?Ford Motor Company's Mercury division is kicking off a multi-year
campaign in which 25 percent of spending will go to digital and
experiential marketing -- with the bulk going online.?
"For this campaign, we are dedicating nearly 25 percent of our total
marketing communications budget to digital and consumer relationship
events, which represents a substantial commitment when compared to
prior launches."
?The company wouldn't break out exactly how much would be spent online
versus on experiential marketing efforts, but one executive estimated
that about 16 percent of spend would go online.?
ClickZ News: August 27, 2004
http://www.clickz.com/news/article.php/3400811
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?U.S. marketers earmarked an average of 10.6% of their total marketing
dollars for events; event-marketing budgets averaged $827,911, per
PROMO's October 2003 survey of 305 marketing execs.?
?Brands earmark an average 10.6% of total budgets for events.?
Chief Marketer
http://chiefmarketer.com/presence/events/marketing_street_smarts/
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Spending on experiential marketing has grown to an estimated $166
billion in 2004, a 9% increase over 2003.
http://blog.brandexperiencelab.org/experience_manifesto/2005/06/
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Creating a Successful Experiential Marketing Program
?Event marketing is a growing part of companies? marketing mix, with more
than 22 percent of companies? marketing budgets devoted to events.
According to the Association of National Advertisers, event marketing is a $10
billion industry in North America, and investment in events is growing at
double-digit rates, outpacing growth in advertising and promotions.?
MediaLive International, Inc.,
http://www.medialiveinternational.com/pdf/Successful_Experiential_Marketing.pdf
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EXPERIENTIAL MARKETING: New Consumer Research
June 14, 2005
http://www.jackmorton.com/360/industry_insight/jun05_industryin.asp
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I am reposting my previous findings below for your convenience.
According to GMR Marketing President Jay Lenstrom, many brands have
added event or experiential marketing as a separate budget line item.
?Budgets also grow as marketers seek a broader range of activities,
says GMR Marketing President Jay Lenstrom. Many brands have added
event or experiential marketing as a separate budget line item. That
cements events as the darling of brand marketing, blending promo, p.r.
and advertising elements. It also intensifies pressure to prove its
worth; that?s got marketers and their agencies developing measurement
systems to prove ROI. Nearly half (47 percent) of marketers think
events give the best ROI of all disciplines, per Intellitrends?
survey. The trick is devising one
formula to suit disparate campaigns."
"Lou Bitonti, senior manager of brand events for DaimlerChrysler,
spent a year creating measurement templates for its national, regional
and local events. As money shifts from media to experiential
marketing, events become an integral part of our marketing mix.?
Promo Magazine
http://www.pmalink.org/research/AnnualRep03.pdf
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North American companies are spending a percentage of their events
budget on experiential marketing.
?Experiential marketing embraces event- and location-based marketing
efforts that bring potential customers together face-to-face with
products and services to create a connection -- and a longer-lasting
impression. North American companies will spend an estimated $5
billion of their $11.1 billion events budget on experiential marketing
in 2004. And the amount earmarked for experiential marketing is
expected to grow as much as 25 percent a year, according to Jim
Andrews, editorial director of Chicago-based IEG Sponsorship Report, a
marketing industry newsletter.?
Source: More than Window Dressing
Fast Company: Issue 85 August 2004
http://www.fastcompany.com/magazine/85/neverstop.html
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Cadillac spends 10 percent of its marketing budget on events.
?Cadillac, meanwhile, will be running a spot on the Super Bowl, but it
will also "have 400 vehicles ... shuttling Super Bowl attendees to
restaurants and ... top hotels. GM also plans to take over an entire
city block for a celebrity go-cart race." Says Cadillac's Jay
Spenchian: "There is less and less network viewing by our target, and
event marketing is one way to give customers firsthand experience with
our products." In 2004, Cadillac spent some 10 percent of its
marketing budget on events, up from 5 percent the year before. The
carmaker would seem to be on-trend: "U.S. spending on event marketing
grew 15 percent, to $152 billion in 2003, according to the Promotion
Marketing Association, www.pmalink.org. While total spending isn't
available for 2004, the group says it expects there was an increase of
more than 15 percent."
http://64.233.179.104/search?q=cache:Yq2SMPUsnBUJ:blog.brandexperiencelab.org/experience_manifesto/advertising_news/+%22experiential+marketing%22++%22percent+of++*+budget%22+&hl=en
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I hope the information provided is helpful!
Search criteria:
"Experiential marketing? ?grassroots marketing? expenditures ?percent of?
?Advertising budget ??marketing budget?
Best regards,
Bobbie7 |
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