ZenithOptimedia Sees Radio's Percentage Of Ad Spending Slipping Through 2013
October 4, 2011 at 3:57 AM (PT)
ZENITHOPTIMEDIA has made a small reduction to its forecast for global ad expenditure growth in 2011 to 3.6%, which is 0.5 percentage points less than the forecast it made in JULY. The slowdown in economic recovery in the developed markets, coupled with rising fears of double-dip recession, have caused some advertisers to trim back budget increases planned for the end of 2011, but there has been no sign of the cancelled campaigns and sharp budget cuts that signalled the beginning of the last advertising downturn in 2008. "We now expect total ad expenditure to reach US$466 billion in 2011, up from US$450 billion in 2010," writes ZENITHOPTIMEDIA.
The report sees radio's share of ad spending slipping, with a percentage moving down from 7.6 in 2009, to 7.2 in 2010, 7.1 in 2011, 7.0 in 2012 and finally 6.9 in 2013. The internet is growing much faster than any other medium, at an average of 14.6% a year between 2010 and 2013. Display is the fastest-growing segment, growing by 17.2% a year, driven mainly by online video and social media.
ZENITHOPTIMEDIA writes, "The main contributor to global ad growth, however, is television, which we forecast to account for 46% of new ad dollars between 2010 and 2013. Television’s share of the global ad market has risen steadily over time: it attracted 39.8% of spend in 2010, up from 37.0% in 2005, and we forecast it to attract 40.5% in 2013."