Where's Your Ad Budget Going?
Posted by Universal Ad at Tuesday, September 18, 2007 1:25 AM and is filed under Advertising,multi-channel,Budget 
So yes, I guess this is going to be stats week. Is it that time of the year?
An Advertising Age article and a Center for Media Research brief report that total ad spending in the US dropped yet again in the first half of 2007, the first time that ad spending has fallen for two straight quarters since 2001. These drops are expected to continue throughout the year.
While the downturn in the automotive industry is a big part of the reason, the weakness is spreading to other industries including telecom and travel & tourism. Other industries, such as financial services, local services, misc. retail, direct response, personal care and restaurants, slightly increased their ad spending.
The media channels that were most affected by the budget cuts were network and spot TV, radio stations of all types, as well as various magazines and newspapers. The only media that gained were cable TV, consumer magazines, Sunday magazines, Spanish language magazines, outdoor, and, of course, the internet.
Looking at specific ad budgets, the picture is mixed - five of the top 10 advertisers cut their budgets (AT&T; GM, Time Warner, J&J and Walt Disney), while the other increased them (P&G, Verizon, Ford, Sprint and National Amusements).
An Advertising Age article and a Center for Media Research brief report that total ad spending in the US dropped yet again in the first half of 2007, the first time that ad spending has fallen for two straight quarters since 2001. These drops are expected to continue throughout the year.
While the downturn in the automotive industry is a big part of the reason, the weakness is spreading to other industries including telecom and travel & tourism. Other industries, such as financial services, local services, misc. retail, direct response, personal care and restaurants, slightly increased their ad spending.
The media channels that were most affected by the budget cuts were network and spot TV, radio stations of all types, as well as various magazines and newspapers. The only media that gained were cable TV, consumer magazines, Sunday magazines, Spanish language magazines, outdoor, and, of course, the internet.
Looking at specific ad budgets, the picture is mixed - five of the top 10 advertisers cut their budgets (AT&T; GM, Time Warner, J&J and Walt Disney), while the other increased them (P&G, Verizon, Ford, Sprint and National Amusements).
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