Ad Spending On Internet Increased By 12.1% In Q1 2012: [Study]

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At the beginning of this year, we discussed about online ad spending in the U.S., which surpassed first time to print ad spending. According to a recent study, the global ad spend reached to $128 billion in Q1 of this year. Proliferation of social networking site and online web portals around the world have speed up the confidence of consumers and that’s why, now a significant number of brands are looking for advertising on internet media.

Nielsen has recently released a study report on ad spending for variant media types including TV, newspaper, radio, outdoor, internet and cinema. Despite of having a strong penetration of TV on advertising dollars, internet recorded a 12.1% ad spend growth in Q1 of this year. Except Magazine, every media types have shown a positive growth in Q1 2012. Overall, ad spend increased by 3.1% globally in Q1 2012 compare to the last year.

It’s pretty clear from the above image, internet showed highest year-over-year growth in Q1 of this year, followed by Radio, Outdoor, Cinema, newspaper and television, recorded 7.9%, 6.4%, 4.1%, 3.1% and 2.8% growth respectively in the same quarter. On the contrary, the ads spend on magazine decline by 1.4% year-over-year in Q1 of this year.

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The above image is demonstrating region-wise distributions of ‘ads spend’ on different media platforms.  Ad spend on Television recorded a whopping growth (33.8%) in the Middle East and Africa, whereas the growth was 4% and 7.5% in North America  and Latin America respectively.

Likewise, Online ad spend was at maximal level in Middle East & Africa (35.2%) region, followed by Latin America  and Europe with 31.8% and 12.1% respectively in Q1 of this year compare to the prior year. However, ads spend on magazine recorded a minor decline compare to the last year, but newspaper saw 3.1% growth. Print media (Magazine) marked 7.6% and 3.6% growth in Latin America and Asia Pacific respectively, while Newspapers recorded 10.3% and 5.4% growth in Latin America  and Asia Pacific respectively. Decline of ‘ads spend’ on print media (magazine and newspaper) was nominal in North America.

Radio marked 2.6% Y/Y growth in North America, while it saw 2.8%, 18% and 21.1% growth in Europe, Latin America and ‘Middle East and Africa’ respectively. Ads spend on cinema declined in Middle East and Africa in Q1 2012, however, it was offset by 27.1% Y/Y growth in Asia Pacific. And lastly, ad spend on ‘Outdoor’ is still considered as nascent, but it saw a rapid Y/Y growth in Q1 2012.

Anyway, the study is quite informative and it’s worthy to know how internet is going to be a largest platform in coming years. However, TV has still a great impression on advertising dollar, but as the internet ad spending is growing, the day is not so far when advertisers will prefer to adopt this platform (internet) for the promotions.

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