Supply and Demand to Drive Global Media Costs

23 January 2006

The cost of media across the globe is likely to rise above the rate of inflation during 2006, reports the Futures Worldwide review by the Initiative media network.

Published annually since 2000, this year's survey points again to cinema as the most expensive medium, with costs rising by around 9.1%.

This is followed by the internet. Its predicted 5.9% cost increase will be fuelled by the rapid growth of broadband and online advertising demand outstripping supply.

The report estimates that cinema's global cost per thousand is $59.43 (€49.20; £33.80); internet CPT is $16.38; magazines $11.14; newspapers $9.23; TV $7.06; radio $6.32; and outdoor $5.37.

The latter's low-ticket status, added to technological innovations, makes it an "undeniably attractive proposition", the survey opines.

New York-headquartered Initiative, an Interpublic Group unit, says the global average in media costs is being driven by Eastern Europe, together with China and Latin America. Strong economic growth, surging demand and scarce supply are pushing up prices sharply.

Data sourced from; additional content by WARC staff