P&G Cuts Digital Ad Spending; Best Buy Closures; Target's New Collaboration

P&G Cuts Digital Ad Spending; Best Buy Closures; Target's New Collaboration

The numbers you need to know today

Digital Ad Spend Cut: Procter & Gamble (P&G) said it cut its digital ad spend by $200 million last year. According to The Wall Street Journal, the company pulled back spending on several digital channels, as well as with "several big digital players," by 20% to 50% in 2017. “With transparent viewability data, we learned that the average view time for an ad on a mobile newsfeed is 1.7 seconds—little more than a glance—pushing us to innovate,” Marc Pritchard, P&G's global brand officer, said at the Association of National Advertisers' media conference.    

Store Closures: Best Buy is planning to shut down 250 of its small mobile phone stores in the US. According to Reuters, the company will still sell mobile phones through its big-box stores, as well as online. Additionally, Best Buy's small phone stores only contributed to over 1% of its overall revenues, Reuters reported. 

Sales Growth: Nordstrom saw customer growth of 4% to 33 million in Q4 2017. Meanwhile, the retailers' Nordstrom Rack business gained 6 million new consumers, and the company expects that a third of its off-price customers will "cross-shop the full-price business over time."

Reaching Millennials: Target is collaborating with boot maker Hunter on a new collection geared toward millennials. CNBC reports that the collection is "tailor-made for Gen Z, the 75 million 20- and 30-somethings who now outnumber baby boomers in the US and have tens of billions of dollars in spending power."

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