New figures from Nielsen Media Research show that BSkyB’s total advertising spend has increased more than 30% year on year, to as much as £160 million in 2007.
Nielsen said that BSkyB spent £115 million on above-the-line media, a 60% year on year increase.
Agency estimates put BSkyB’s total media spend for 2007 at close to £160 million, up from a total of £117.4 million in 2006, and more than double the £70 million total estimated to have been spent by Virgin Media last year.
The Guardian reports that both companies also spent more than £20 million online, and tens of millions more on direct marketing.
BSkyB saw a doubling of TV ad spending, from £14 million in 2006 to £28 million last year, while press advertising was also up, from £27.7 million to £60 million year on year.
Outdoor grew by 14% to £18.8 million, while radio advertising was up 15.6% to £6.9 million.
The Guardian report attributes the increased marketing costs to the satellite broadcaster’s promotion of its ‘See, Speak and Surf’ package which combines TV, broadband and home telephone.
BT’s spending on traditional media rose from £64.6 million in 2006 to £69.2 million in 2007, while ITV cut its spending from £16.6 million to £14.7 million and Channel 4’s ad spending dipped from £19.7 million to 12.6 million.
Nielsen Media Research will release its annual compilation of online and direct marketing spending later this month.
Sky will this week launch its appeal against the Competition Commission’s ruling that forces it to sell most of its 17.9% stake in ITV (see Sky To Launch ITV Stake Appeal This Week).
At the start of the month, Sky announced a before tax downturn of £36 million for the first six months of its financial year to end December, as the value of its stake in ITV fell (see BSkyB Reports Before Tax Downturn Of £36 Million).
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