Monday, September 9, 2013

TV Ad Spend Up, National Radio Also Rises

MediaDailyNews

by , 7 hours ago


Thanks to higher TV spending, total U.S. advertising expenditures perked up some in the second quarter from the same period a year ago.

The second quarter was up 3.5% to finish the period at $35.8 billion, with total spending over the last six months 2% higher -- reaching $68.9 billion. The second quarter of a year ago had a 0.9% rise.

“Ad spend has now increased for six consecutive quarters and in reaching 3.5% growth for Q2, had its best performance in a non-Olympic period since the end of 2010,” stated Jon Swallen, chief research officer at Kantar Media North America.

Television outgrew the market overall, with 6.4% higher spending.

Cable TV spending remained the major portion of TV’s overall rise -- up 14.9%. Broadcast network TV spending was up 4.9%. Spanish-language TV spending improved 6.1% as a result of higher budgets from direct-response marketers, auto manufacturers and restaurants.

Spot TV expenditures sank 3.5% in the period -- mostly due to lower political ad spending, which regularly occurs in odd-numbered years. But taking out political spending, core spot TV spending was the same versus a year ago.

Outdoor ad spending grew 7.4%, while Internet display advertising gained 4.1%.

Newspaper media continued to decline. Local newspaper ad spending dropped 4.3% as a result of a decline in auto dealers, financial services and retailers spending. Consumer magazines were up 1.9% -- but with a lower number of ad pages sold. Sunday magazines witnessed spending up 4.1% but ad pages lower by 6.3%.

National radio grew 5.8% from telecommunications, restaurants and retail business. Local radio sank 1.6% which as Philip Jay LeNoble, Ph.D. suspects is a result of stations selling, promotions, packages, initiatives in place of selling long-term branding campaigns which is a better position for clients to take in gaining awareness, recognition and market acceptance against competition.

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