Katz Media Sees Strong Q4 Advertising Gains
September 27, 2010 at 7:09 AM (PT)
KATZ MEDIA CEO STU OLDS shared some good news with clients this morning, writing "The National Spot Radio Market is heading into this year’s final quarter showing strong gains amid growth in all regions of the country and increased spending in the run up to NOVEMBER’s elections. National Spot Radio revenue is pacing up 15% through SEPTEMBER year-to-date from the same period last year. Based on the pacing of business on the books today, the fourth quarter is pacing up 43% compared to the year-ago period. As a result, we expect to end 2010 on the same positive note that we’ve experienced all year."
OLDS said radio's core business is driving these results. National Spot Radio’s top seven categories (excluding political) in the fourth quarter are all pacing well ahead of last year’s results. In fact, each of the seven categories is up more than 34% from last year.
Q1 Q2 Q3 Q4
Retail +8.8% +22.7% +17.8% +51.6%
Finance +2.7% -16.7% -0.3% +34.8%
Entertainment +29.7% -10.4% +9.9% +36.1%
Auto +33.4% +29.5% +13.4% +68.9%
Telecomm +21.6% +36.6% +13.0% +46.8%
Consumer Products +30.6% +31.8% +4.0% +47.0%
Prof. Services +14.4% +29.4% +20.6% +45.5%
The largest spenders by category represent the depth and breadth of National Spot Radio’s broad-based recovery.
Retail: SUPERVALU, SAFEWAY, ALDI, WAL-MART, TARGET, HOME DEPOT, JOSEPH A. BANK, KOHL’S, JCPENNEY, LOWE’S
Finance: GEICO, ALLSTATE, JP MORGAN, MASTERCARD, CAPITAL ONE, PNC, UNITED SERVICES AUTO ASSOC., NATIONWIDE, AMERICAN FAMILY, WELLS FARGO
Entertainment: COMCAST, FOX, TURNER, CALIFORNIA STATE LOTTERY, SONY, PARAMOUNT, HALF PRICE BOOKS, SUPERMEDIA, AMERISTAR, NBC
Auto: O’REILLY, GM, HONDA, AUTOTRADER, CHEVROLET, VOLVO, TOYOTA, MERCEDES
Telecom: VERIZON, AT&T, TRACFONE, CLEAR WIRELESS, US CELLULAR, CRICKET, METRO PCS
Consumer Products: EASTMAN KODAK, PFIZER, PANERA BREAD, KIDDE, TRIBE MEDITERRANEAN FOODS, BUFFALO WILD WINGS, WRIGHT BACON, NORTH FACE
Professional Services: KAISER PERMANENTE, NAVY FEDERAL CREDIT, PORTFOLIO MEDIA MANAGEMENT, ACE CASH EXPRESS, UPS STORE
OLDS continued, "National Spot’s broad-based recovery can be seen across all market groupings. In the fourth quarter, pacings for every tracked market segment are up double-digits. What’s more, each one of the top-100 markets is up significantly over last year’s results. For example, pacing in the fourth quarter in NEW YORK is up 57.2%, BOSTON (+52.0%); S.F. (+74.6%); HOUSTON (+65.4%); PHILADELPHIA (+67.4%); DETROIT (+51.2%); MIAMI (+82.7%); TAMPA (+97.3%); BALTIMORE (+74.5%); COLUMBUS (+72.0%); OK CITY (+65.5%); KNOXVILLE (+73.6%) and AKRON (+97.0%).
"In addition, political spending is adding substantially to the overall results as the period between AUGUST and ELECTION DAY historically accounts for almost 75% of total political/issue spending for the year. The strength of additional political pressure on inventory will continue to push up pacing trends."