Study: TV Ads Remain The Bulk Of Ad Spends (And Why It’s Good News For Seven)
Revenue generated from advertisements in the Asia Pacific increased by 4.5 percent in 2016 compared to a year ago, reaching to $US139 billion. The revenue is expected to expand to $US182 billion in 2021, according to analytics firm IHS Markit.
The latest IHS Markit analysis covering Asia Pacific includes Australia, China, India, Indonesia, Japan, Malaysia, New Zealand, Philippines, Singapore and South Korea. The Asia Pacific region collectively contributes to revenues amounting to one third of the total global advertising market last year.
According to the research, ad revenues grew in Australia by 4.3 per cent in 2016.
Analysis shows traditional TV media had dominated the Asia Pacific ad market in 2016, accounting for 39.0 percent of the total ad revenue. Still, TV commercials are expected to grow steadily with a compound annual growth rate (CAGR) of 2.2 percent between 2016 and 2021 for the ten aforementioned Asia Pacific countries studied. However, IHS Markit expects its share to decline to 34.0 percent by 2021 as stronger online media takes up a larger slice of the pie.
According to the research, Seven West Media was the eighth biggest revenue earner of all the media companies in the APAC region for 2016.
Commenting on the study, Qingzhen Chen, senior analyst at IHS Markit, said: “The Asia Pacific ad market last year, bolstered by robust performance of traditional TV media and rapid online growth, saw stronger growth that was underpinned by structural drivers, such as rising consumerism, the emerging middle class, as well as rapid mobile device adoption by a younger demographic in the developing markets,” he said.
“These factors will continue to propel the growth of advertising in the longer term. In contrast, growth for mature ad markets like Australia and Japan continues to be predominantly driven by innovation, better audience measurement, and digital adoption of traditional media via ‘out-of-home’ access.”
The latest IHS Markit analysis shows traditional TV media had dominated the Asia Pacific ad market in 2016, accounting for 39 per cent of the total ad revenue. Still, TV commercials are expected to grow steadily with a compound annual growth rate (CAGR) of 2.2 per cent between 2016 and 2021 for the 10 aforementioned Asia Pacific countries studied. However, IHS Markit expects its share to decline to 34 per cent by 2021 as stronger online media takes up a larger slice of the pie.
“While traditional TV media still remains an important revenue generator in Asia Pacific, print ads are expected to see imminent change over the next few years. Print ad has been growing in India, for instance, and it remained the dominant advertising medium in Singapore in 2016. However, we expect publishers to further trim their newspaper business moving forward, which has already taken place in Australia, New Zealand and Malaysia,” said Kia Ling Teoh, analyst at IHS Markit.
“Despite the double-digit rate, online ad revenue is still small compared to traditional TV media. Structural factors such as poor connectivity and broadband infrastructure cap the level of growth possible in Asia Pacific’s online ad markets,” Teoh said.
By country, China continues to lead online ad market in the region, taking 63.1 percent of the total online ad revenue of the ten Asia Pacific ad markets collectively by 2021. China’s 650 million online users — twice the size of the US population — only accounts for half of China’s population, making it one of the region’s most attractive ad markets. “Domestic online companies continue to invest aggressively into digital advertising, and foreign publishers show no sign of retreat from trying to enter the market, notwithstanding tightening content and ad regulations,” Chen said.
Latest News
The Unapproved Climate Certification Allegedly Causing Mass Greenwashing
Are you left flummoxed in the canned tuna & free range eggs aisle? Just wait till this green certification gets up.
TV Ratings (22/04/2024): Fans Mock “Over The Top” Reaction To New MasterChef Judges
MasterChef returns for its 2024 season. B&T stands by putting peppercorns in Gravox & no one will be any the wiser.
Dentsu Restructure: Muddle, Harvey & Johnston Take Leadership Baton As Bass & Yurisich Exit
A large broom has swept through Dentsu's local ops this morning, taking with it some big names & the air con's cobwebs.
Industry Shares Trends Shaping The Industry This International Creators Day
B&T's asking adland creators to reveal their top trends. And it's not good news for your Jenny Kee cardigan collection.
Mable Extends HOYTS Sensory Screenings Partnership
Mable has extended its HOYTS sensory screening partnership. Vigorously defends its two-star Oppenheimer review.
Orphan Launches ‘They Need Our Help. We Need Yours’ For Children’s Cancer Institute
Anything to do with childhood cancers has B&T's 110% support. That said, we do ignore the red meat & alcohol warnings.
Smile Team Orthodontics & Keep Left Collaborate On Smile-Inducing Campaign
As parents would attest, given the cost of orthodontics you'd expect this campaign to be a lavish production indeed.
Opinion: How Video Calls Neglect Learning Diversity
Need an excuse to duck out of a video call this arvo? Show this to your boss.
DoubleVerify Achieves First-Of-Its-Kind Responsible AI Certification From TrustArc
DoubleVerify receives responsible AI certification. However, not its robotic vacuum that's been seen menacing the cat.
Smile For A Good Cause: The Social Media Campaign Giving Back To The Community
Are you known as the office Austin Powers? More for you teeth than shagability? Get snappy new fangs with this news.
Elon Musk Mocks Albo After ESafety Wins Court Injunction Against X
Albo's 2024 from hell continues - Rabbitohs in crisis, down in the polls and now feuding with world's richest man.
Real Estate Developer In Hot Water Over “Sexually Exploitative” OOH Campaign
Real estate agents again tops in the 'least trusted profession' polls, nudging used car salesmen & ad creatives.
Epsilon’s Shane Hanby: Post-Cookie Era Relies On “Teamwork” Between Brands, Marketers & Tech
This pro predicts more "teamwork" in a post-cookie era. Which spells bad news for the uncooperative or plain stubborn.
Entries For Five Decades Of Advertising Graduates Awards Close On Monday
Entries for the Five Decades of Advertising awards close Monday. And no extensions! Any bribery is open til Wednesday.
Cadbury Extends Commitment To Women’s Sport With Sweet New Wallaroos Deal
Rot your teeth, get fat and support women's sport all at the same time with this sweet new sponsorship arrangement.
Campfire X & Nando’s Partner To Acknowledge Traditional Land Owners Across Australia
Chicken chain unveils important First Nations initiative. The actual chickens more concerned with the Adani coal mine.
Lisa Ronson, Naysla Edwards & Ben Hill Join MFA Awards Signature Judging Panel
MFA Awards adds some serious clout to its judging panel. Still no confirmation Paulini will be performing on the night.
Connect Hearing ‘Sounds Good’ Platform Via Bread Agency
Every office has that one hard of hearing person that's oblivious to the fact. Ramp up their insecurities with this.
Ipsos Iris Data: Australians Prioritise Entertainment & Sports Over Serious News In March
Data shows Aussies prioritising light entertainment over hard news. And who can blame them if you've seen the hard news!
Fur Media Partners With Mad Paws To Support Advertisers
It's never good if your office smells like faeces & brine chunks in aspic. Not if you're pet-friendly agency Fur Media.
MAXIBON Drops Epic Flavour Collaboration Via SICKDOGWOLFMAN
There are few pluses to be had with global warming, except the extension of ice-cream eating season.
Sling & Stone Scrubs Up With Lush Account
Got friends at Sling & Stone? Expect the dreaded loofah and bath bomb for birthdays/Christmas this year.
SBS’s The Cook Up With Adam Liaw Produces ‘Fewer CO2 Emissions Than Industry Average’
SBS could go full vegan for Adam Liaw's seventh season and reduce its TV audience and emissions by 99 per cent.
GumGum & Playground xyz To Merge Media Portfolio, Creating “Powerhouse” Ad Suite
GumGum & Playground xyz tap into consumer mindset. B&T prefers tapping a keg, but whatever works.
All The Winners & Grinners From The TikTok Young Lions Awards Night!
Last week saw every part of the human experience: Exalted, devastated, exhausted & stuffing sausage rolls in the corner.
TV Ratings (21/4/24): Farmer Wants A Wife Wins Sunday Prime Time
Farmer Wants A Wife does make the country life seductive. Apart from the manure stench & the bleating roosters at 5am.
Australia’s Automotive Industry Shifts Gears With CTV
How much was CTV responsible for Australia's record car sales in 2023? Or those horrible oversized American utes?
Australia’s C7EVEN Communications Launches Services In Japan With New Tokyo Office
Aussie comms agency unveils its Tokyo plans. Confirms it's still getting the hang of the toilets over there.
Daniel Goldstein Promoted To Head Of PR At Example
Try as he may to surreptitiously blend in with the wall in his photo, this PR fellow still relatively easy to spot.
Marie Claire & Volvo Partner For The Planet: Nominees For The Inaugural Marie Claire Sustainability Awards Announced
Fashion bible Marie Claire unveils its Sustainability Awards. Yet still refusing to recycle 2023's maxi skirts trend.
Sefiani Unveils A Wave Of Promotions & Appointments
Life's good in PR/comms as Sefiani unveils new hires. Well, bad news for media sites obsessed with redundancy stories.
Yahoo Launches Identity Solutions For CTV
Connected TV just got a whole lot more exciting with this innovation. Bar the incessant Friends re-runs.
Infosum Launches Data Clean Room Solution With Samsung Ads Australia
Infosum & Samsung Ads launch a data clean room solution that's a lot more than a Wettex & squirt of Ajax.
Fast 10: Bread Agency’s Amaury Treguer On Its “Unrivalled” Social Commerce Focus
Bread Agency's Amaury Treguer takes B&T's Fast 10, as he reveals why he won't be sandwiched up against the opposition.
X And Elon Musk To Sue Australia’s eSafety Commissioner Over Sydney Stabbing Takedown Order
If this all wasn't traumatic enough, Elon weighs in to prove he's the world's richest man & world's biggest dickhead.
CRA Siren Award To Be Presented At B&T Awards 2024!
Often attend award nights & think "I wish this night would never end"? Well, B&T's just got that tiny bit longer.