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Newswire

Economic Recovery Boosts Asia Pacific Ad Spend

Markets and Finances | 10-20-2009
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Many economists believe that Asia has been at the forefront of the global economic recovery, and new research from The Nielsen Company indicates that in terms of advertising spend, the recovery is in full swing in a large part of the region.  Ad spending in main media across the region was 11 percent in the second quarter of 2009 over the same period in 2008, to an estimated $29.96 billion (US). Five markets recorded growth during the quarter, with India leading the way with 28 percent growth, followed by China (17%).  Indonesia and the Philippines also posted robust growth of 8 percent and 9 percent respectively.

While this growth is impressive, seven countries still recorded declines in ad spending in the second quarter of 2009, including South Korea (-17%) and Taiwan (-16%).

TV, Newspapers & Magazines across 12 MarketsQ2 2009Q2 2008% Change
China19,796,81116,849,91917%
India1,700,3081,324,96628%
Hong Kong1,671,9391,738,649-4%
Australia1,542,0731,631,572-5%
South Korea1,357,4691,635,205-17%
Indonesia1,277,9671,185,7638%
Philippines845,467777,8419%
Thailand550,541603,121-9%
Malaysia415,265411,1971%
New Zealand395,126402,233-2%
Singapore254,076288,827-12%
Taiwan154,519182,983-16%
TOTAL FOR PERIODS29,961,56127,032,27611%
Source: The Nielsen Company

"Although declines in advertising activity were still evident across free to air TV, newspapers and magazines in a number of markets, there were clear signs of a reversal of contracting activity.    In the more dynamic markets of China and India, both of which saw sharp cutbacks in advertising activity in the first quarter, advertising bounced back strongly with double digit growth over the same quarter in 2008,” said Richard Basil-Jones, Managing Director, Asia Pacific at Nielsen.  “Positive economic signs across the region suggest that the recovery to pre-financial crisis advertising activity may occur earlier than industry observers had forecast at the beginning of the year."

On a year-to-year basis, ad spend was up 9 percent, reaching an estimated $112 billion (US).  Television was the only main media to record growth (10%), while newspapers and magazines showed modest declines (-1% and -3%, respectively).

Tagged:  GLOBAL  |  APAC
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