Internet Boosts US Adspend For 2005

The media commentary group’s optimism for 2005 is echoed by analyst Merrill Lynch, who predicts a 4.9% increase in adspend, revised down from 5.2% (see Merrill Lynch Conservative In US Ad Forecasts).

Advertising agency, Universal McCann, is the most optimistic in forecasting a 6.4% growth rate for US adspend (see Universal McCann Predicts Positive Outlook For 2005).

Aegis-owned subsidiary group, Carat, is slightly less bullish, revising its 2005 predictions down from 4.8% to 4.5% (see UK Adspend Forecast To Rise By 4.2% In 2005). ZenithOptimedia however, has pushed its estimates up and is forecasting a 4.2% increase, up from a more conservative 3.0% (see Cost of Advertising To Rise Ahead Of Inflation).

The lowest of all the 2005 forecasts comes from global research agency, Interdeco. In its Ad Barometer report, it predicts only a 3.5% rise in US advertising expenditure (see Global Advertising Recovery Confirmed).

According to figures based on a consensus of the most recent forecasts compiled by MediaTel Insight, US adspend is predicted to increase by 4.3% in 2005. While this figure is lower than that expected for 2004, the outlook for the forthcoming year nevertheless remains solid.