Marketing, Ad Dollars and its Effect on Music

Earlier this week, Ad Week announced that GM is no longer part of the top 3 global marketers club and now the lineup consists of Proctor & Gamble Co, Unilever and newly number 3, L'Oreal (which owns brands that include Lancome, Biotherm, Mizani, Giorgio Armani, Ralph Lauren and Cacharel). The expectation for 2009 is a 3.2% decline in ad spending in the U.S. So what does this mean for music? Well, ad spending is expected to go down because companies feel that consumers are not interested in new products (this includes music) and are curbing their spending. If companies are not looking to market their products and services and find new ways to connect with consumers, they are not making new ads and not working with labels and artists for strategic marketing purposes. But just how much do labels and artists rely on corporate sponsorship and strategic marketing opportunities? Unfortunately, I do not have the answer to that, but I do know that it surely limits opportunities for artists and their music and of course revenues for labels. So what can we do in this down market? Staying positive and being hopeful are the only actions that come to mind.