Internet Leads Ad Spend Growth in Q1; Radio Paces Traditional Media

July 10, 2012

nielsen-global-ad-spend-growth-by-medium-in-q1-july2012.pngGlobal online ad spending grew 12.1% in Q1 2012, per new figures released from Nielsen’s AdView Pulse report. Online advertising showed the most rapid growth by media segment, although radio also posted a solid increase (7.9%), as did outdoor (6.4%). Other traditional media also experienced a year-over-year rise in expenditures, including cinema (4.1%), newspapers (3.1%), and TV (2.8%), while magazines saw a slight decline of 1.4%).

Nielsen previously reported global ad spend growth in Q1 to be 3.1%.

Online Ad Spend Soars in Emerging Markets

Online ad spending saw the fastestvgrowth in the Middle East and Africa (35.2%), with Latin America also seeing a significant increase of 31.8%. Though more modest, Europe posted strong growth of 12.1%, ahead of Asia-Pacific (4.4%).

Online ad spending’s overall 12.1% growth in Q1 compares to a 15% increase in the US, per IAB and PricewaterhouseCoopers figures.

Print Up in Latin America

Though magazines and newspapers moved in opposite directions on a global basis, both were up in Latin America, with magazine spending rising 7.6% and newspaper expenditures growing 10.3%. Both print media also increased in the Asia-Pacific region, by 3.6% and 5.4%, respectively. North America saw a 2.1% decrease in newspaper spend and a 5% decline in magazine spend. This compares with Kantar Media figures released in June, that reported newspaper and magazine ad spend in the US experiencing declines of 4.3% and 3.8%, respectively.

Other Findings:

  • Radio expenditures grew in every region, led by the Middle East and Africa (21.1%) and Latin America (18%). In Asia-Pacific, radio grew by 6.7%, while North America and Europe saw spending increases of 2.6% and 2.8%, respectively.
  • Cinema advertising revenue increased by 27.1% in the Asia-Pacific region, representing the fastest-growing medium in the region. Spending in Europe was relatively stagnant (1.7%), and decreased in both Latin America (-18.3%) and the Middle East and Africa (-6.5%).
  • TV ad spend grew most rapidly in the Middle East and Africa (33.8%), and also saw healthy increases in Latin America (7.5%) and North America (4%). TV ad spend declined marginally in Asia-Pacific (-0.6%) and Europe (-1.2%).
  • Outdoor ad spend boomed in the Middle East and Africa (45.3%), and also increased in Asia-Pacific (21.1%), Latin America (7.1%), and North America (4.4%). Europe was the only region to see a decrease, of 1.2%.
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