Internet Display Ads Grew 15% In 2007
The advertising market finished 2007 with measured spending of $148.99 billion, up 0.2 percent compared to 2006, according to TNS media intelligence.
Internet display advertising continued its growth leadership, increasing 15.9 percent in 2007 to $11.31 billion in expenditures. Consumer magazines saw a 7 percent gain to $24.43 billion on the strength of higher spending by consumer packed goods marketers. Cable TV spending increased in the second half and finished 2007 at $17.84 billion, an increase of 6.5 percent.
Among television media, full-year Network TV expenditures dropped by 2 percent to $22.43 billion. Spot TV fell 10.2 percent to$15.59 billion. Syndication TV decreased 1.5 percent to $4.17 billion.
Ad spending declines in newspaper and radio media increased during the fourth quarter. For the year local newspapers were down 5.6 percent to $22.66 billion and aggregate radio expenditures feel 3.5 percent to $10.69 billion. Both media were hurt by spending reductions from automotive, media and retail advertisers.
"As a whole, the ad market remains stalled and is being engulfed by the spreading pessimism about general economic conditions," said Jon Swallen, SVP Research at TNS media intelligence.
"Fourth quarter performance was indicative of this malaise and early figures from 2008 suggest the growth rate for measured ad spending has not appreciably changed. A cyclical boost from the elections and Olympics still waits on the horizon. However, marketers are being cautious with their core ad budgets faced with concerns about consumer spending and corporate profits."