US Ad Forecasts From Veronis Suhler
US adspend is forecast to show a slight comeback in the second half of the year, with moderate gains continuing through to 2006, according to a new industry report from Veronis Suhler Stevenson as reported by Mediapost.
Network spend will rise by 4.1% to $42.9 billion and cable and satellite will grow by 9.5% to $76.9 billion. Local radio will rise 3.0% to $14.6% and national radio will see a 4.0% jump to $3.2 billion.
Business to business (B2B) press is still suffering, in line with poor CEO confidence levels. Television and radio adspend is tied to consumer confidence, which is higher, says the report.
The full breakdown is shown here.
| US 2002 Advertising Forecasts | |
| Year on Year Growth (%) | |
| Network television | 2.9 |
| Cable and satellite | 9.5 |
| Local radio | 3.0 |
| National radio | 4.0 |
| Newspaper | 3.2 |
| Internet | 4.1 |
| Total | 2.9 |
| Source: Veronis Suhler Stevenson, August 2002 | |
The report predicts an annual growth rate of around 5.5% until 2006. This is comparable with the mid-’90s, pre-internet, says Veronis. No new advertising dollars are entering the market, in contrast with the last five years which saw revenue sources from the internet and telecommunications emerge.