Ad Revenue Projections Down in U.S.

Posted on 4/9/2008 by Julia Dudnik Stern | Printable Version | Comments (1)

ZenithOptimedia downgraded its previous forecasts of 2008 ad revenue. The combined growth of North America and Western Europe is expected to be 3.8%, down from the previous projection of 4.4%. Researchers attribute the drop to declining consumer and business confidence, as well as poor economic conditions. Growth continues in other world markets, with Central and Eastern Europe in the lead. MediaPost's Center for Media Research has the full report.

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Comments

Leslie Hughes Posted Apr 10, 2008
It was hard from the title of your article to understand that what ZenithOptimedia actually did is lower the projections for growth from 4.1% to 3.7% growth (or 4.4 to 3.8% as the article you quoted said). Broadcasting is a big part of that. Not much seems to actually have changed from previous projections. Online is growing faster than print and at a significant 23.4%. Many believe that a soft economy means more to the internet. Media buyers expect modest growth due to the Olympics and mainly for broadcast; and the growth of advertising is slowing in N.A and Europe while growing in double digits in other markets - mostly emerging markets. But the US is still a huge market as is Europe and Japan. The interesting thing to me is that 08 is still expected to be higher than any other year in the 2006 - 2010 period for North America. I do believe we will see the volume of images up but the price point down overall due to internet spend and move to mobile advertising. In any case, this information is very helpful but can be confusing in small doses.

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