Nielsen Unveils 2007 US Adspend Numbers

02 April 2008

NEW YORK: Hard on the heels of disappointing 2007 US adspend figures released by researcher TNS Media Intelligence last week, comes a slightly better - but still dismal - set of numbers from TheNielsen Company, showing meager growth of just 0.6% last year.

Preliminary data reveals online advertising grew most strongly, up 18.9%, followed by national magazines which climbed around 7.5%, outdoor at 7.2% and national Sunday supplements, which grew around 5%. National cable television was up 2.2% while Spanish-language TV grew 1.5%.

All other media posted declines: Network TV down 1.5%, local magazines (-1.7%), spot radio (-2.0%), spot TV markets 101-210 (-2.6%), network radio (-3.9%), business-to-business magazines (-4.0%), local Sunday supplements (-4.9%), spot TV markets 1-100 (-5.1%), local newspapers (-7.5%) and national newspapers (-7.7%).

Comments Annie Touliatos, director of product development and marketing for Nielsen Monitor-Plus: "Several traditional media outlets are demonstrating resilience and strong growth in an overall softening economy, with outdoor continuing a five-year steady climb in advertising spending."

Among the top ten US advertisers, only three increased their adspend last year: Procter & Gamble, up 6% to $3.7 billion (€2.36bn; $1.86bn); AT&T, up 2% to $2.2bn; and Verizon Communications, up 6% to $1.7bn.

Product placement performed strongly last year, with a 13% rise in the number of placements during prime-time broadcast network programming. However, it decreased by 9% in its cable counterpart.

  • Meantime, Nielsen has its own woes. The researcher posted 2007 results which show a narrowed pro forma loss from $368 million in 2006 to $282m, despite reported revenue up to $4,707m, a 13% increase on its pro forma figure for 2006, or 7% adjusting for currencies and deferred revenue. 
    Reported operating income for the full year 2007 was $416m, up from $227m pro forma for 2006.
  • Data sourced from Adweek (USA) and (UK); additional content by WARC staff