Ad spending in the U.S. media measured by TNS Media Intelligence declined 14.7% during the first nine months of 2009, and the most recent data — a 15.3% decline during the third quarter — suggests that Madison Avenue has yet to pull itself out of recession. According to TNS MI’s estimates, the third quarter of 2009 marks the sixth consecutive quarter of year-over-year ad spending declines.
Moreover, TNS MI Senior Vice President-Research Jon Swallen says the early indications from preliminary fourth-quarter data aren’t looking much better.
“The updated monthly trend line on total advertising expenditures still shows no meaningful improvement through October,” he stated, adding: “The slump has now passed its first anniversary, and year-on-year comparisons will become easier in the upcoming months. Going forward, the timing, strength and durability of an advertising recovery will ultimately be determined by the way consumer activity rebounds.”
Among the major media, Internet display advertising continues to be among the only ones showing positive momentum. Online display ad spending expanded 7.0% during the first nine months, which along with newspaper FSIs (+3.9%) were the only media to show any increases this year.
TNS MI said online spending was “propelled” by spending from telecommunications, travel and automotive advertisers, while FSI benefited from consumer packaged goods marketers who expanded their couponing efforts to stimulate consumer demand.
Percent Change in Measured Ad Spending:
Jan-Sept 2009 vs. Jan-Sept 20081
MEDIA SECTOR
· Media Type
(Sectors and types listed in rank order of spending)
% CHANGE
TELEVISION MEDIA: -12.1%
– Network TV: -11.5%
– Cable TV: -2.9%
– Spot TV: -27.5%
Syndication
– National: -2.8%
– Spanish Language TV: -10.4%
MAGAZINE MEDIA: -19.7%
– Consumer Magazines: -18.7%
– B-to-B Magazines: -27.6%
– Sunday Magazines: -16.4%
– Local Magazines: -25.8%
– Spanish Language Magazines: -24.9%
NEWSPAPER MEDIA: -22.8%
– Newspapers (Local): -22.7%
– National Newspapers: -24.6%
– Spanish Language Newspapers: -18.0%
INTERNET (display ads only): 7.0%
RADIO MEDIA: -22.8%
– Local Radio: -23.3%
– National Spot Radio: -27.2%
– Network Radio: -9.1%
OUTDOOR: -16.2%
FSIs: 3.9%
TOTAL: -14.7%
Story courtesy: MediaPost