New Market Research Concludes That Major UK Brands are Failing to Monetise Digital Media Strategies

New Market Research Concludes That Major UK Brands are Failing to Monetise Digital Media Strategies

BIRMINGHAM, England, September 5/PRNewswire/ --

Key findings:

- Digital media now accounts for almost 50% of daily media consumption
and is the preferred medium for receiving marketing messages
- 41% of consumers chose the Internet as the medium they could not live
without
- Only 62% of TV is now watched in real-time
- 75% of the UK population rarely watch TV adverts when viewing recorded
programmes

New market research by industry analyst, Redshift Research, on behalf of
Oxygen8 Communications, has found that major UK brands are still failing to
monetise their digital media strategies, and campaigns are often in direct
competition with traditional print or TV advertising campaigns.

The research finds that whilst consumers are interested in accessing more
services from organisations on their mobile phones, corporates and media
companies are failing to make the most of digital opportunities. Two thirds
of organisations recognise that consumers are less receptive to traditional
advertising, 76 per cent of corporates feel that internet advertising is more
effective than both TV and print. This sentiment is echoed by media
companies, where 83 per cent felt that SMS and email is more effective than
the traditional channels. In fact, only 13 per cent of media companies and 23
per cent of corporates believe that traditional media is still more important
than digital media.

Budget (40%) and lack of skill and experience (28%) are quoted as the
main barriers to using digital media more frequently. Furthermore, whilst 60
per cent of companies think it would be very or extremely useful to have one
single CRM system/database combining traditional and digital media campaigns,
65 per cent collect and analyse campaign data in separate systems, thus
rendering them unable to gain a full view into any cross media campaigns'
performance.

Shane Leahy, Group Chief Executive Officer of Oxygen8 Communications,
says, "The digital marketplace is undoubtedly the future. However, UK brands
need to become attuned to selling new media advertising, from mobile to 3G
and IPTV, in a way that complements, not undermines, traditional products and
reflects the expectations of the consumer. This shift in approach requires
not only an investment in technology, resources and understanding but also a
significant corporate restructuring to deliver an integrated cross-media
strategy."

Oxygen8 Communications is a new interactive communications company that
has been formed following a management buy-out to respond to fundamental
changes in the interactive communications market. The company's mission is to
help both media companies and corporates to realise the revenue potential of
new digital media technologies such as mobile, video, 3G and IPTV.

At the heart of Oxygen8's offering is its Oxygen platform which provides
UK brands with a 'one-stop-shop' solution, enabling them to create fully
integrated interactive communications services utilising a variety of
different technologies, including WAP, Web, Voice, Video, SMS and MMS.

Web: http://www.oxygen8.com

Tel: +44(0)808-206-0808,
Email: sales@oxygen8.com .

Source: Oxygen8 Communications

Tel: +44(0)808-206-0808, Email: sales@oxygen8.com .For media use only: Lisa Williams / Kieran Kent, ITPR, T. +44(0)1932-578800, lisaw@itpr.co.uk

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