In this guest post, SMI managing director Jane Ractcliffe (pictured below) says it doesn’t need to be all doom and gloom and says some categories are set to shine – toilet paper aside – in these tumultuous times…
Amid all the uncertainty currently permeating our advertising market, it’s important to provide a balanced perspective on advertising demand.
Yes, total advertising demand does remain lower in Australia, and most expectations are that the coronavirus will delay the expected return to overall market growth.
But that certainly does not mean there are not product categories that are already showing evidence of stronger demand for the month of March.
SMI’s latest Australian Forward Pacings data shows that when digital bookings are removed (as they are mostly paid for retrospectively rather than in advance) total Agency bookings for March are already 58 per cent of their March 2019 total. And note this data was collected even before the March month had begun.
SMI collects Forward Pacings data (confirmed future advertising payments for the future three months) which enables our subscribers to see how future advertising demand is tracking across all Product Categories.
And for the month of March we can already see categories such as food/produce/dairy are already showing strong demand for advertising with 96 per cent of their March 2019 total ad spend already booked.
Similarly, bookings in the toiletries/cosmetics category are already 88 per cent of last year’s March total and the alcoholic beverage category has confirmed bookings equal to 94 per cent of last year’s total. And ad spend from the non alcoholic beverages category is already above that seen in March 2019.
And as the accompanying graph details, future bookings for the Domestic Bank category are already tracking ahead of the market in both Australia and New Zealand.
In New Zealand, we’ve seen a far more positive outlook with total January ad spend up two per cent mostly driven by stronger Radio advertising.
But the total future ad demand in New Zealand for March is slightly below that seen in Australia at 53 per cent.
Even so we can still see strong future bookings among individual product categories with real estate advertising already at 81 per cent of the March 2019 total and both the government and toiletries/cosmetics category well above the market with 63 per cent of their total inventory already booked. And advertising demand from domestic banks is also already tracking ahead of the market.
SMI’s Future Category Demand data will be further updated next week when the first published data for the month of February is released in both markets.
A new global report on the damaging effects of promoting fossil fuels has singled out Australia as being uniquely compromised by agencies lobbying for oil, gas and coal. The joint study by Australian organisations Comms Declare and Clean Creatives lists the 90 advertising, marketing and PR agencies that have hampered cuts to greenhouse gas emissions […]
Freedom Foods and 72andSunny Sydney have launched the first advertising campaign for Australia’s Own range of plant-based beverages. The campaign introduces a new visual world and identity for the brand and captures the healthy, positive feeling you get when spending time in nature and when consuming Australia’s Own certified-organic, plant-based beverages. As well as featuring […]
Nine creatives from APAC are among the 94 finalists from 27 countries in The One Club for Creativity’s prestigious Young Guns 19 competition, celebrating international creative professionals age 30 or younger. The finalists from APAC are: Hiu Ching Kung, graphic designer, Hong Kong Lam Ieong Kun, graphic designer, illustrator, indego design, Macau Raxenne Maniquiz, graphic designer, illustrator, Santa Maria (Philippines) Kiyotaka […]
OOH transit company Adflow has announced the success of the first phase of its regional expansion program. Adflow’s regional footprint has increased by 60 per cent to now include 65 regional locations. With 9.1 million people living regionally in Australia (growth of 1.1 per cent experienced in the 19/20 Financial year) and most regional centres […]
Freshworks, a leading software company, has started trading on the Nasdaq Global Select Market, marking an important milestone for the company. The company priced its IPO at US$36 per share (AU$49.76), raising about US$1 billion (AU$1.4B), resulting in a total market capitalisation of AU$13.7 billion (US$10B). Freshworks, which was founded in India, has strong roots […]
Black Friday Cyber Monday (BFCM) is the biggest player in the holiday shopping game and Google’s most recent research suggests consumer interest for the peak sales season starts much earlier than retailers may realise. The pandemic has fundamentally changed buyer behaviour over peak sales season, with Google suggesting that global consumer interest in Black Friday […]