Sunbelt Markets Enjoy Highest Telecom Spending
June 27, 2011 at 5:32 AM (PT)
"Telecom Spending Goes Up Where the Sun Shines" is the latest offering by analyst JIM BOYLE for MEDIA MONITORS. BOYLE notes "the hottest Telecom markets were almost all basking in the southern sun. This suggests that the population shifts, detailed in the 2010 Census and various other recent surveys, seemingly driven by states with business-friendly agendas, are being followed by shifts in Telecom spending. The one exception is NYC, which has meteorological and business climates very unlike these states, but is, instead, the scene of a major triple-play spending brawl between Verizon and the top cable groups."
Extensive advertising data from MEDIA MONITORS, revealed in 2011 that Telecom advertising is up 7.5% YTD across all markets compared to the Top 12 markets’ bigger surge.
What this study of comprehensive ad information discloses is that the Telecom ad revenue surge in 2011 YTD is a profitable combination of more ad spots sold at higher rates. MEDIA MONITOR's local media detail reveals that Telecom ads have repeatedly hit the TV dial pad the hardest for both revenue and ad rate improvement YTD. All three media saw their average telecom advertising rate increase in 2011 YTD.
2010 YTD 2011 YTD YOY
TV Station Rev. [12 of 45 mkts.] $ 462 million $ 564 million Up 22%
Newspaper Rev. [12 of 48 mkts.] $ 121 million $ 97 million Down 20%
Radio Station Rev. [12 of 62 mkts.] $ 102 million $ 96 million Down 6%
The wide-ranging local data from MEDIA MONITORS across many market shows that Telecom ads received the most exposure in Cable TV and in Radio so far in 2011, while in the Top 12 markets the figures look like this:
2010 YTD 2011 YTD YOY
Radio Station Spots 739,800 spots 777,400 spots Up 5%
Local Cable Net Spots 661,400 spots 664,900 spots Up 1%
Local TV Station Spots 450,500 spots 497,600 spots Up 10%
Local Newspaper Ads 3,700 ads 2,700 ads Down 27%
The leading Telecommunications ad spend markets are seeing the logical demographic and business shifts due to friendlier residential and business climates.
2010 YTD 2011 YTD
#1 Telecom Ad Revenue NYC $153 million $204 million
#2 Telecom Ad Revenue LA $112 million $117 million
#3 Telecom Ad Revenue CHI $ 85 million $ 72 million
#4 Telecom Ad Revenue SF $ 54 million $ 53 million
#5 Telecom Ad Revenue DC $ 51 million $ 48 million