Contrary to what passed for common wisdom a few months ago, the digital side of the advertising industry is being impacted heavily by the economic downturn. Digital agencies are seeing clients cut their online spend drastically, forcing them into the position of cutting staff. ClickZ has offered up their analysis of the situation, specifically addressing why digital is being cut: it’s the fastest way to rein in the budget. The flexibility of online to adapt to a changing marketplace and constantly optimize is both its greatest asset and its greatest liability.

Economic Meltdown, Industry News, Trends