TNS: Radio Ad Spending To Grow 1.7% In 2007
January 8, 2007 at 8:55 AM (PT)
TNS MEDIA INTELLIGENCE's latest ad spending projections are for a 2.6% rise in overall ad spending in 2007 (2.1% in the first half of the year and 3.2% in the second half).
Radio, on the other hand, is projected to lag behind most other media with growth of 1.7% for the year, its share of the overall pie shrinking slightly from 7.4% to 7.3%. Internet spending is expected to pace upwards 13.4%, and its share of overall spending is projected to rise from 6.5% to 7.2%.
"Our outlook for 2007 is tempered by the absence of two biennial advertising events, the OLYMPICS and federal elections, which tend to contribute an incremental 80-100 basis points to growth rates," TNS Pres./CEO STEVEN FREDERICKS said. "More significant, we expect share of total ad spending will continue to shift away from the Top 100 marketers, as media fragmentation enables more brands with smaller media budgets to participate in the market, while concurrently helping dampen media price inflation. The forces driving this new pattern appear to be sustaining, and there is little reason to believe a return to the old order will be forthcoming."
The forces driving this new pattern appear to be sustaining, and there is little reason to believe a return to the old order will be forthcoming.