ECONOMY

Jobless claims dropped again in November, hitting another pandemic-era low; a sign that the labor market is gradually improving. The Labor Department reported that unemployment claims hit 709,000 the week ending Nov. 7^th down from 757,000 the week before. This marks the fourth consecutive week that totals have declined. Though unemployment remains a significant problem in the U.S., numbers have been getting progressively better as the economy rebuilds. (CNBC: 11/12/20)

As the economy starts to rebuild, we’ve also seen a strong housing market, which continued its wild ride in October. “For the first time since 2011, homes sold faster in October than September and prices remained at their summer peak of $350,000.” Historically low interest rates helped by pushing “tons of homeowners to refinance and new buyers to apply. (Forbes: 11/9/20)

NEWS TRUST AND VIEWERSHIP

In a recent ANA “Marketing Maestros” blog, the TVB’s Brad Seitter describes how increased TV viewership and trust in local news have helped create unique opportunities for marketers during the pandemic. For viewership he references growth across most dayparts and demos, with news seeing the highest increases for the largest adult buying demo (A25-54) and older viewers (A35+). And for “trust” he links to a 2020 Engagement Labs study showing how broadcast news leads cable and social media.

RETURN ON AD SPEND

A five and a half year study using Standard Media Index data and various industry sales data looked at the ROAS (return on ad spend) for three prominent categories (automotive, consumer packaged goods, and quick service restaurants). In total, 22 advertisers met the ad spend thresholds. The study had several goals including transparency, an ability to provide macro and generalizable insights, and an impact on both short term sales and other outcomes. While funded by Fox, it include “all aspects of video content.” Highlights from the report include many advertisers reporting sales growth while four increasing market share as well. TV was seen as the prominent contributor to sales, with an increase in TV ad spend resulting in an increase in both sales and market share. Additionally, digital media showed an increased effectiveness when combined with TV. (Forbes: 11/13/20)

ONLINE SHOPPING

Digital Commerce 360 reported that online shoppers in the US spent $218 billion on retail purchases during Q3 2020, a slight increase from the Q2 2020 US E-commerce sales of $212 billion. According to data analyzed by Stock Apps, there was a 50% year-over-year increase in Q3 2020 compared to a similar period in 2019. With the growth of US eCommerce sales, retailers have seen a surge in revenue. Amazon reported an increase of 39% in revenue from North America in Q3 2020. Costco reported a 91% spike in eCommerce sales during its fiscal fourth quarter which ended August 31, 2020. Similarly, for Best Buy Co., there was a 24% increase in online sales during fiscal Q2 2020. For Target, online sales grew by 195% year-over-year in Q2 2020. Walmart also reported an increase of 97% in online sales during Q2, which ended July 31, 2020. (StockApps: 11/12/20)

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