Tech marketing budgets to grow 3% in the first half of 2005
IDC projects that the marketing budgets of IT vendors will increase by an average of 3% during the first six months of 2005. While many vendors are planning to keep their marketing budgets flat or make incremental investments, nearly half plan to increase their marketing budgets by 5% or more. IDC predicts that marketing spending may accelerate during the remainder of 2005, depending on overall IT spending levels, which are a leading indicator of marketing investment increases. IDC is forecasting a 6% increase in worldwide IT spending for 2005. Across the tech industry, about 10% of vendors are seen decreasing their marketing budgets; 45% of vendors are holding their budgets steady or increasing investment by up to 5%; 25% are increasing investment between 5-15%; and 20% of vendors are increasing investment more than 15%.