Kantar Media: U.S. Advertising Increased 4.4% In First Quarter
Local Radio Up, National Radio Down
June 13, 2011 at 6:26 AM (PT)
Total advertising expenditures in the first quarter of 2011 increased 4.4% from a year ago and finished the period at $32.5 billion, according to data released today by KANTAR MEDIA. Although first quarter performance fell below 2010 levels, the ad market has now achieved five consecutive quarters of year-over-year growth.
The pace of spending in Radio softened a bit during the first three months. Local Radio was up 3.4% as higher budgets from auto dealers and insurance marketers offset weaker activity from local retailers, telecom and restaurants. National Spot Radio (-3.3%) lagged in comparison to a stellar year-ago period when ad spending grew by double digits.
"With the advertising recovery in its second year, 2011 gets benchmarked against the elevated spending levels of last year and that makes for tougher comparisons," said SVP/Research JON SWALLEN. "Despite slowing growth, there are positive signs. The market expanded by $1.4 billion during the first quarter which nearly equals the amount of gain at the start of 2010 when the recovery began. In addition, a rising proportion of advertisers are increasing their ad budgets and this indicates spending growth is still rippling outward through the market."