US Advertising Expenditures Grew 0.2% In 2007
The US advertising market continued to splutter at the end of 2007 and finished the year with measured spending of $148.99 billion, up 0.2% year on year, according to data from TNS Media Intelligence.
Jon Swallen, SVP research at TNS Media Intelligence, said: “The ad market remains stalled and is being engulfed by the spreading pessimism about general economic conditions.
“Fourth quarter performance was indicative of the malaise and early figures from 2008 suggest the growth rate for measured ad spending has not appreciably changed.
“A cyclical boost from the elections and Olympics still waits on the horizon. However, marketers are being cautious with their core budgets faced with concerns about consumer spending and corporate profits.”
Internet display advertising continued its growth leadership, increasing 15.9% in 2007 to $11.31 billion in expenditures.
Consumer magazines registered a 7.0% gain to $24.43 billion on the strength of higher spending by consumer packaged goods marketers.
Cable TV spending finished 2007 at $17.84 billion, an increase of 6.5%. Outdoor grew 4.9% to $4.02 billion.
| Measured Advertising Spending By Media: Jan-Dec 2007 v Jan-Dec 2006(1) | |||
| Media | Jan-Dec 2007 (Millions) | Jan-Dec 2006 (Millions) | % Change |
| Television Media | $64,421.0 | $65,552.3 | -1.7% |
| Network TV(2) | $22,430.7 | $22,887.8 | -2.0% |
| Cable TV | $17,842.2 | $16,746.1 | 6.5% |
| Spot TV(3) | $15,589.4 | $17,355.7 | -10.2% |
| Spanish Language TV(4) | $4,385.9 | $4,327.6 | 1.3% |
| Syndication – National | $4,172.9 | $4,235.1 | -1.5% |
| Magazine Media(5) | $30,327.5 | $28,742.5 | 5.5% |
| Consumer Magazines | $24,431.2 | $22,830.0 | 7.0% |
| B-to-B Magazines | $3,355.3 | $3,501.0 | -4.2% |
| Sunday Magazines | $1,878.0 | $1,751.9 | 7.2% |
| Local Magazines | $435.5 | $453.5 | -4.0% |
| Spanish Language Mag | $227.5 | $206.1 | 10.4% |
| Newspaper Media | $26,362.5 | $27,918.7 | -5.6% |
| Newspapers (Local) | $22,660.6 | $24,014.4 | -5.6% |
| National Newspapers | $3,346.6 | $3,540.0 | -5.5% |
| Spanish Language Newspapers | $355.3 | $364.2 | -2.5% |
| Internet(6) | $11,309.4 | $9,754.6 | 15.9% |
| Radio Media | $10,691.7 | $11,084.6 | -3.5% |
| Local Radio(7) | $7,187.0 | $7,385.1 | -2.7% |
| National Spot Radio | $2,502.6 | $2,695.0 | -7.1% |
| Network Radio | $1,002.2 | $1,004.5 | -0.2% |
| Outdoor | $4,020.4 | $3,831.2 | 4.9% |
| FSIs(8) | $1,861.0 | $1,828.6 | 1.8% |
| Total(9) | $148,993.5 | $148,712.4 | 0.2% |
| Source: TNS Media Intelligence | |||
| 1. Figures are based on the TNS Media Intelligence Strategy multimedia ad exposure database across all TNS MI measured media, including: Network TV; Spot TV (101 DMAs); Cable TV (45 networks); Syndication TV; Hispanic Network TV; Consumer Magazines (210 publications); Sunday Magazines (5 publications); Local Magazines (28 publications); Hispanic Magazines (29 publications); Business-to-Business Magazines (317 publications); Local Newspapers (144 publications); National Newspapers (3 publications); Hispanic Newspapers (52 publications); Network Radio (5 networks); Spot Radio; Local Radio (34 markets); Internet; and Outdoor. Figures do not include public service announcement (PSA) data. | |||
| 2. Network TV figures include the WB, UPN CW and MyTV networks | |||
| 3. Spot TV figures do not include Hispanic Spot TV data | |||
| 4. Spanish Language TV figures include four national networks and 43 local stations | |||
| 5. Magazine media includes Publishers Information Bureau (PIB) data | |||
| 6. Internet figures are based on display advertising. They do not include paid search or broadband video advertising | |||
| 7. Local Radio includes expenditures for 34 markets in the US as provided by Miller Kaplan Arase | |||
| 8. FSI data represents distribution costs only | |||
| 9. The sum of the individual media may differ from the sub-totals or grand total due to rounding | |||
A recent forecast from Carat said that 2009 will see advertising growth of 4.9% worldwide, with the fastest-growing regions set to be Asia Pacific and Latin America.
In Europe, the UK is predicted to see 6.4% growth for 2008, with Romania and Russia at 35% and 22.6% for 2008 respectively (see Global Adspend Forecast To Grow 4.9% in 2009).
The World Advertising Research Center’s Long Term Advertising Expenditure Forecast, published in January, forecast that advertising expenditure in the UK could grow by as much as 37.9% in real terms by 2019 (see UK Adspend Could Grow 38% By 2019).