Los Angeles, CA (PRWEB) November 05, 2013
Media monitoring services have a buyer power score of 3.5 out of 5. “This score is indicative of slow price growth over the past three years, the wide availability of media monitoring services and the low switching costs associated with changing from one provider to another,” says IBISWorld procurement analyst Nikoleta Panteva. Buyers can find comparable services from a number of large providers; if a buyer is not intent on breaking a contract, then the monetary costs of changing suppliers are very low, if any exist. Suppliers have kept their rates steady to garner more demand from corporations, which experienced a drop in profitability (and therefore, access to third-party services) during the recession. These factors have added to buyers' negotiating power for media monitoring services.
However, buyers of these services also face factors that work against their negotiating power. First, while substitutes for media monitoring services exist, often free-of-charge, they are not comparable to dedicated media specialists. “For example, Google's Alert product allows users to track certain keywords in the media, but results are limited by the existence of publication firewalls,” says Panteva. “Second, media monitoring services are becoming increasingly necessary as the amount of media content continues to expand.” Taking media monitoring services in-house is often a difficult and unfeasible task for buyers due to the manpower it takes to effectively track and analyze metrics for a wide range of clients.
Over the next three years, IBISWorld forecasts the price of media monitoring services to grow due to a combination of expanding media content and growing corporate profitability. Both spur demand for third-party media monitoring services, allowing suppliers to increase their selling price. Instead of negotiating price alone, buyers are more likely to benefit from negotiating contract terms and package deals. Major vendors include Cision, Meltwater, PR Newswire, Thomas Reuters and Vocus. For more information, visit IBISWorld’s Media Monitoring Services procurement research report page.
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IBISWorld Procurement Report Key Topics
This report is intended to assist buyers of media monitoring services. Media monitoring services are most often used by public relations (PR) agencies or agents to monitor and collect news clippings (both virtual and physical) on topics, companies, products or otherwise-specified keywords. Often, the keywords include the name of the PR agency’s client. Media monitoring allows PR professionals to track the level of exposure they have created for their client; it also helps determine prevailing trends to help tailor media content for maximum exposure. Media monitoring is available for traditional media outlets like newspapers and magazines; it has also spread into social media channels that include social networking sites and blogs.
Recent Price Trend
Product Life Cycle
Total Cost of Ownership
Supply Chain & Vendors
Supply Chain Dynamics
Supply Chain Risk
Market Share Concentration
Vendor Financial Benchmarks
Buying Lead Time
Key RFP Elements
Buyer Power Factors
About IBISWorld Inc.
IBISWorld is one of the world's leading publishers of business intelligence, specializing in Industry research and Procurement research. Since 1971, IBISWorld has provided thoroughly researched, accurate and current business information. With an extensive online portfolio, valued for its depth and scope, IBISWorld’s procurement research reports equip clients with the insight necessary to make better purchasing decisions, faster. Headquartered in Los Angeles, IBISWorld Procurement serves a range of business, professional service and government organizations through more than 10 locations worldwide. For more information, visit http://www.ibisworld.com or call 1-800-330-3772.