Strata Sees Advertising Spending On The Rise
January 26, 2012 at 8:44 AM (PT)
Has optimism returned to the media buying industry? Perhaps, says a new STRATA quarterly survey of leading advertising agencies. The industry is confident that business and client spending on advertising will continue to increase in 2012. However, the STRATA Survey noted that Digital advertising was flat during the fourth quarter, but Mobile is building momentum.
STRATA found that 81% expect client approach to advertising and marketing to either increase or stay the same. This is up 14% based on the same figures reported third quarter 2011. Adding to this positive economic surge, nearly half of respondents said they project the 1st half of 2012 to be better than the last half of 2011 with increases in business compared to the same time last year. The impact shows 31% of agencies noted they plan on hiring in 2012, which is up 29% over third quarter 2011 and up 28% over the same time last year.
Digital advertising dollars were nearly unchanged during the fourth quarter 2011 compared to the previous quarter. When agencies were asked about client focus, 81% said more than a year ago, which is actually down 4% from the previous quarter. Agencies reported Mobile advertising during the fourth quarter 2011 was up 39%.
The STRATA Survey reveals that the top medium of choice for clients in the fourth quarter was Spot TV (Broadcast and Cable) as reported by 51% of agencies surveyed. Digital was second at 31%, which is down 9% from third quarter 2011, followed by Spot Radio (8%).
"The key word for advertisers in 2012 is growth," said STRATA CEO/Pres. JOHN SHELTON. "Agencies started to reap the benefits of balance sheets turned in their favor during the fourth quarter 2011, brokering a bright early 2012. The STRATA Survey shows that many advertisers are confident that their business and the economy will return to a strong period by midyear. That sentiment, coupled with strong numbers from the political race, provides an overall positive barometer for advertising in 2012."