Dmitry Apukhtin, Head of Performance at Ingate Group, knows how not to waste money on advertising and how the brandformance approach is useful.
Inflation affects not only the cost of food, real estate, air tickets and services, but also the advertising budget. It is wrong to compare current figures with the values of past years. By analogy: a flight to Europe used to cost 5,000 rubles, but today you can only dream of that.
In this article, we will talk about the brandformance approach, but we will warn you right away that it is not a panacea. Even the most first-class professional will not be able to launch an advertising campaign using the same tools and achieve similar results for the same amount of money as, say, three years ago.
Inflation has affected both the salaries of specialists and the cost qatar cell phone number list of advertising, and other components of the business. Expenses for labor and advertising tools are constantly increasing. Here is a simple example of how the salary of a contextual advertising specialist has grown over six years:
According to statistics collected from various sources, inflation in the advertising market in 2023 was approximately 18-25%. In certain areas, for example, e-commerce, medicine and real estate, price growth is much higher.
The reasons are as follows:
Western advertising technologies have left the Russian market: Google Ads, advertising on Instagram* and Facebook* (owned by Meta, which is recognized as an extremist organization in Russia and is banned). At the same time, competition on relevant domestic platforms is high today;
Consumer behavior has changed. Potential buyers have become more rational about their purchases, so they take longer to make decisions.
Advertising costs are increasing, and so are the rates in advertising auctions. There are more competitors for the same budget, which increases the cost of leads, clicks and other metrics. This phenomenon is called media inflation, and there is no way around it.