Global adspend up 8.8pc in Q1 2011, with TV and emerging markets showing strong growth – Nielsen
Global Adspend Increases by 8.8% YoY in Q1 2011
Global adspend rose by 8.8pc year-on-year in the first quarter of 2011, with advertisers increasing expenditure on television and in the booming Asian and Latin American markets, according to Nielsen.
The latest Nielsen Global AdView Pulse report reveals that global advertising was worth US$118bn in Q1 2011, based on published rate cards.
Television Advertising Dominates Traditional Media
Television advertising was up by 11.9pc year-on-year and increased its share among other traditional media (radio, magazines, and newspapers) from 63.5pc to 65.3pc in both developed and many emerging economies.
“With US$6.50 of every ten dollars being spent on television, it’s clear that TV remains the most important and cost effective advertising medium for companies looking to reach new consumers, especially in booming emerging markets,” said Randall Beard, global head of advertiser solutions for Nielsen.
“In fact, according to two Nielsen reports released last month, women globally said they preferred to find out information on new products and services via television more than any other medium, and the Q1 Nielsen Cross-Platform Report showed that Americans are watching more TV than ever before.”
US and Western Europe Market Insights
In the US, the world’s largest market, advertising increased by 5.9pc to reach nearly US$27bn in Q1 with stable increases for TV, radio and magazines. Newspaper advertising, however, dropped by more than 10pc. In Western Europe, newspaper advertising fell by 1.6pc.
Emerging Markets Drive Global Ad Growth
According to Nielsen, the emerging regions of Asia-Pacific (12.4pc) and Latin America (11pc) drove global ad growth in Q1, followed by Middle East/Africa which managed to increase by 10.4pc despite a 51.3pc decline in Egypt’s ad revenue as most companies temporarily halted advertising during the country’s social and political upheaval.
High Year-on-Year Gains in Selected Countries
Western Europe posted the lowest growth rate of all global regions in Q1 of 2.9pc as ad spend in Greece, Ireland, Italy and Spain went into negative territory, contrasting with double-digit growth in Europe’s more robust markets of Turkey (12.9pc), France (11.6pc), and Norway (10.2pc).
Argentina (37pc) and South Africa (34.8pc) experienced the highest year-on-year gains, while China, India, Indonesia, Malaysia, Philippines and Saudi Arabia also had double-digit gains in Q1.