New media to take bigger bite of ad pie Camille ALarcon
The internet and pay TV are set to enjoy the biggest growth in the advertising market, with predictions that new media will bite into the overall ad pie at the expense of traditional media.
The forecasts in PricewaterhouseCoopers’ “Entertainment & Media Outlook 2006-2010” report reveals that collectively, newspapers, TV, magazines, radio and outdoor will experience an 11% fall in the overall ad market in the five years to 2010.
In contrast, the internet’s ad share will grow from 6% in 2005, to 13% by 2010, and pay TV will grow from 2% to 3%.
“Advertising over this period [2005-2010] will grow more slowly than consumer spending at 6% compounded annually but will reach $13.5bil by 2010,” PwC media and entertainment director, Matthew Liebmann, said.
“Traditional media will remain the largest form of advertising in our marketplace, but the more rapid form of growth will come from subscription TV and the internet because of its ability to provide personalised messages at the right time for each individual user.”
See this week’s issue of B&T (out Friday August 4) for the full story.
