Southeast Asia Ad Spend Shopping Spree Continues

December 20, 2011

Contacts:
Tam Nguyen, (84) 976 060 044
Tu Le, (84) 936 321 321 

Key Findings:

  • Q311 regional ad spend exceeds $5b
  • Television ad spend major contributor to main media ad revenue increases

Advertising spend throughout Southeast Asia has recorded healthy growth across mainstream media, exceeding US$5 billion in the third quarter of 2011, according to new analysis released today by global media and information company Nielsen.

 Nielsen’s Southeast Asia Quarterly Advertising Index revealed that total advertising spend across the region jumped by three percent in quarter three 2011 compared to quarter two. The latest quarter’s result was an increase of 16 percent on quarter three 2010. Indonesia experienced the most notable increase in advertising dollars spent in quarter three, up 24 percent compared to quarter three 2010, followed by the Philippines (+15%) and Singapore (+10%).

 “The growth in advertising spend coupled with strong consumer confidence within the region are promising signs for Southeast Asia” notes David Webb, Nielsen’s APMEA Region, Managing Director of Advertising Solutions. “Strong advertising growth in Southeast Asia over the past year underlines the region’s resilience amidst global economic uncertainty and increasing spend in markets such as Indonesia and the Philippines echoes sentiment within the region that local economies are still thriving and capable of withstanding external shocks.”

According to the Nielsen Index, growth in advertising spend across main media was driven largely by television and newspapers – television advertising spend increased five percent in the third quarter and 17 percent compared to the third quarter 2010, whilst newspapers, which remained flat in the third quarter, experienced 14 percent growth quarter-on-quarter. Haircare, Telecommunications and Government Department categories lead as the major sectors contributing to advertising spend across the Southeast Asia region, whilst Unilever topped the list of the region’s highest spending advertisers during the quarter three 2011 period.

 “Whilst marketers throughout the region grapple with the challenge of spreading advertising budgets across a growing number of media platforms, television continues to demonstrate its un-matched ability to reach the masses, and technological developments such as HDTV, IPTV, TV on-demand and time-shifted viewing are all contributing to the ongoing appeal of television,” observes Webb.  “As we look to the year ahead, the common challenge of allocation of advertising spend will again be at the forefront of marketers’ minds and all media, traditional and emerging, must look for ways to maintain audiences and demonstrate ROI in order to earn their share of advertising dollars.”

 

About the Nielsen Southeast Asia Advertising Index

The Nielsen Southeast Asia Advertising Index is produced on a quarterly basis to highlight key trends in advertising spend throughout the region. Main media reported at a regional level are: free to air TV, Newspapers and Magazines.In several markets advertising expenditure is based on media industry rate cards, and may not necessarily reflect actual media market conditions. The advertising data monitored in each market varies by number of media sectors covered and rate card methodologies. When reviewing year-on-year comparisons, significant changes in spending may reflect increases in media coverage, or rate card increases in addition to a general shift in ad spending activity. Data was collated at a local currency level and converted to US dollars using the official exchange rate as of November 2011.

 About Nielsen

Nielsen Holdings N.V. (NYSE: NLSN) is a global information and measurement company with leading market positions in marketing and consumer information, television and other media measurement, online intelligence, mobile measurement, trade shows and related properties. Nielsen has a presence in approximately 100 countries, with headquarters in New York, USA and Diemen, the Netherlands. For more information, visit www.nielsen.com.