Competitors jump in as Optus halts advertising

Chris Pash
By Chris Pash | 5 October 2022
 
Credit: Arisa Chattasa via Unsplash

Optus slashed advertising spend soon after the cyber attack which saw the loss of customer personal data.

Digital marketing intelligence platform Pathmatics says digital advertising spend went from almost $55,000 on September 21 to under $5,000 on September 22, the day that the crisis was announced.

And data from Pathmatics shows competitors increased ad spend as Optus went quiet on advertising.

Tom Cui, managing director APAC at Pathmatics and Sensor Tower, says: “Optus’ decision to pause its advertising spend on the day of the cyber attack comes as no surprise.

"With approximately 10 million Aussies impacted by the data breach, any proactive marketing activity would've been deemed insensitive. It'll be interesting to see when Optus resumes its digital marketing activity and whether there’s a change in messaging, such as creatives centring more around data security. 

“The lull in activity from Optus has, however, created an opportunity for competitors to ramp up their advertising spend, getting in front of customers who may be looking to migrate.

"Telecommunications companies both big and small have upped their efforts in the days following the breach. With security top of mind for many consumers and businesses alike right now, I expect to see a rise in telco ads reaffirming their data privacy policies  as the weeks continue.”

Pathmatics tracked competitors:

  • Telstra’s advertising spend rose from $140,000 on the day of the cyber attack to $180,000 three days later. 
  • Vodafone increased its advertising efforts with a particular focus on Facebook where its spend rose from just under $15,000 per day to almost $35,000. 
  • Exetel also ramped up its marketing efforts, with a significant spike in their advertising spend on September, 23 and 24 - the two days following the cyber attack. 
  • Lyca Mobile’s advertising spend fluctuated with peaks in activity on the day of the cyber attack and the day following. 
  • Boost Mobile’s advertising spend increased to $5,000 from from $400 following the cyber attack on September 22 to September 24.
  • None of the telco companies are yet to include cyber safety messaging in their advertising, instead focusing on product and brand awareness. 

pathmatics optus ad spend oct 5 2022 - supplied

 

And competitors:

pathmatics - telco spend after optus crisis

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