Global Ad Spending Growth Modest7 Aug, 2013 By: Doug McPherson
NEW YORK – Research giant Nielsen says global ad spending grew only moderately on a year-over-year basis, and 2013 has proven to be an off year for some and a year to spend for certain industries.
Within industry and services, ad spending for industry, agriculture and property grew the most, with an increase of 28.7 percent globally. Asia-Pacific and Latin America regions were the heaviest regions for spending, with 22.1 and 10 percent growth in industry and services, respectively. The sector’s 11.5-percent ad spend market share solidifies it as a major advertising player.
Fast-moving consumer goods, the long-standing most valuable player in sector growth, showed no signs of slowing down, boasting a 6.1-percent increase for the quarter. Latin America led this increase with a 22.2-percent bump.
The drink subsector drove global growth, which experienced a 9.7-percent increase. Spending also grew in cosmetics and toiletries, gaining 5.6 percent for the period. The spirits category within the drink subsector performed particularly well, experiencing an increase in spending of 36 percent for the quarter.
Financial and automotive are suffering mostly because of the ongoing tepid economy in the Western world. Advertising spending declined in these sectors by 2.9 percent and 5.1 percent, respectively. The commercial vehicles category within the auto sector saw the biggest drop—23 percent, while advertising in investment and savings and card services each fell 14 percent in the financial sector.