Source: Kantar Media
Notes: Advertiser spending on the media platforms tracked by Kantar Media declined by 3.9% in Q3, the same rate of decline as seen in Q2, as 16 of the 22 measured media types monitored saw a dip in spending year-over-year. Among traditional media, radio and outdoor again were the bright spots, while print continued its decline. Kantar provides explanations for several of the results:
- Network TV’s 1% decline can be attributed to one less weekend of NFL games in September compared with last year, without which spending would have increased by 3-4%;
- Cable TV’s dip was due in part to decreasing spending from CPG brands, while spot TV’s drop was the result of the absence of election advertising;
- The decline in online display expenditures (to PCs and tablets only) was in part the result of less page traffic, which Kantar Media notes may be due to a move to mobile;
- Outdoor advertising rose on the back of above-average growth for digital billboard spending and a strong quarter for transit ad formats;
- Two-thirds of the large drop-off in spending on Sunday Magazines could be attributed to the closure of USA Weekend at the end of 2014; and
- Local newspapers’ decline was due in some measure to big spending drop from auto dealers and retailers, as well as real estate advertisers.
In terms of advertising categories, retail remained the largest category in Q3, though its spending dropped by 5.2% year-over-year, making this the 5th consecutive quarter of retail advertising declines. The opposite trend is apparent for pharmaceutical advertising, which was up 18% year-over-year in Q3 and is on track for a $5.6 billion year, which would be a new high. Kantar Media’s report notes that a large contributor to pharma’s increased spending is the number of brand launches, which have carried with them ever-high marketing spend.
About the Data: Kantar Media’s full explanation of its methodology can be found at the link above.