The coronavirus (Covid-19) outbreak, which has now been declared a pandemic by the World Health Organisation (WHO), could take a hit on advertising expenditure (adex) but brands which maintain or increase their spending may reap a stronger presence over the long term.
A recent survey by Dentsu Aegis Network (DAN) showed that brands which maintain or increase their adex during times of change could win the hearts and minds of consumers and sustain long-term growth.
A survey by DAN of clients in China, among others, indicated that people were spending more time at home and that some brands have responded by shifting spend from offline media to online.
Reports arising from the Covid-19 outbreak also points out that despite some marketers slowing their ad spending, there may be some shift to e-commerce and live-streaming.
Source: The Star