TV Outpaces Global Media Ad Spend Growth in Q1; Print Continues to Falter

July 26, 2013

This article is included in these additional categories:

Asia-Pacific | Digital | Europe & Middle East | Financial Services | Magazines | Newspapers | Out-of-Home | Radio | Television | Uncategorized

Nielsen-Global-Ad-Spend-Growth-by-Medium-Q1-July2013Ad spending on TV around the world grew by 3.5% in Q1, outpacing the aggregate increase of 1.9%, according to data released by Nielsen. While TV continues to post above-average growth rates, print is following its own familiar pattern. During the first quarter, global spending on newspaper advertising declined by 4.7%, while magazine ad expenditures dropped by 2.8%. Both represented significant slowdowns from overall figures posted last year.

Ad spending on newspapers declined in North America, Europe and Asia-Pacific. While spending is down on a global basis, newspaper circulation and advertising trends show marked differences around the world, per recent data from World Press Trends.

The only other traditional medium to post a year-over-year spending increase in Q1 was outdoor, according to the Nielsen data. Outdoor advertising grew by 4.3%, following up from its impressive 7.1% growth rate in 2012. But while radio and cinema posted strong growth rates last year, they both experienced slowdowns in Q1, falling by 0.2% and 5.8%, respectively.

Not too surprisingly, display advertising experienced the most rapid growth in Q1, of 26.3%. That aligns with a recent forecast from ZenithOptimedia which projected annual growth of about 20% between this year and 2015. Researcher MAGNA GLOBAL, though, recently predicted display to see slower ”“ if any ”“ growth this year, with a decline in some markets owing to the “commoditization and deflation of display inventory.”

Other Findings:

  • Based on those 7 media types (TV, radio, outdoor, newspapers, magazines, cinema, and internet display), Nielsen reveals that TV captured 59% of spending in Q1.
  • Despite their declines, print accounted for close to 30% of all spending, with newspapers accounting for about twice as much spending as magazines (18.3% vs. 9.4%).
  • Internet display spending grew most quickly in Latin America (48.2%) and the Asia-Pacific (33.2%). TV spend also showed above-average growth in those regions, up by 13.1% and 7.8%, respectively.

About the Data: Nielsen Global AdView Pulse measures ad spending for TV, newspapers, magazines, radio, outdoor, cinema and Internet display advertising. Ad spend is based mainly on published rate-cards. Some markets may exclude select media due to data availability.

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