Is there tangible proof traditional advertising is in trouble?

General Motors cut its ad spending by more than $600 million last year, a drop of 23% to $2.03 billion in 2006 versus $2.65 billion in 2005.

The reduction alone is larger than the total advertising spending of a Nike or a Volkswagen. GM is the country's second-largest advertiser, and it is shifting toward direct marketing, Web sites, online video, event marketing, branded entertainment and Internet advertising.

The move from traditional print, radio and TV to digital platforms is undeniable.

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