Advertising forecast

Gloomy expectations for advertising in the coming years. A recent report from PWC reports Ad Sales down 15% in 2009 in US to 161bn$. Worst performers, not surprisingly, the newspapers. Ad spending will keep on falling -although at a lower rate- till 2012. At that time, internet share (including mobile) of ad spend is expected to be at 19% -WOW! That will be about 33.8bn$. In the Global Entertainment and Media...

Global advertising trends – 2

Some more of adspending from the media these days. This time focused on big advertisement spenders and industries in US, 2008 vs 2007 comparison, brought us by TNS Media Intelligence of WPP. Snippets: Q408 vs Q407 -9.2% total US advertising spend 2008 vs 2007 -4.1% auto industry -15% spend in 2008, down to 12.8bn$ Procter (US largest advertiser) cut 7% to 3.2bn$ (wow!) finance industry: steady at -0.3%, down to...

Global advertising trends

A recent report from a well known investment bank updates on recent global advertising spend. The most interesting information: the four global agency companies (Publicis, IPG, WPP, Omnicom) reported Q1 organic growth rates between -4.4% and -6.6% US is particularely weak, between -9% and -3.5% iternational between -5% and -1% FY 2009 is forecasted at -6.9% Being F2009 forecast at -6.9% with Q1 within -4.4% and...

TV Ad rates to 15 year low in UK

Not really surprising, but interesting on the FT. TV Ad rates are now back to 1992 levels. We know advertising is a cyclical business, and no surprise is turning downward so quickly in such challenging (to say the least) economic environment. Also, the FT says that 35% of companies cut ad budgets for the 4th quarter running. Advertising revenues in TV fell 17% YoY in September, but the actual fall in prices is more...

Global advertising spending growth/fall in 2009

Interesting on the FT. Zenith Optimedia (Publicis) forecasts a growth in global advertising of 4% in 2009, and 0.6% in US, while Barclays Capital forecasts a fall of 5.5% of spend in US. I am with Barclays. Advertising will go down in 2009, and not only in US. I expect it to be down worldwide. It’s a cyclical business, and the economy is not in good shape. I expect the budget migration from offline to online...