Newly released advertising expenditure figures from ACNielsen Media International confirm that the global slowdown in adspend has reached the Asia Pacific region where aggregated spending approached US$6 billion during the year's first quarter.
But Southeast Asia markets appeared to weather the storm, although these are relatively small, accounting between them for just 18% of total advertising investment in the markets monitored.
Despite political uncertainties Indonesian adspend grew 22%, followed by 19.2% in the Philippines, 13.3% in Malaysia, and 7.8% in Thailand. Singapore had the slowest growth, at 3.9%.
Commented AC Nielsen president for the region, Frank Martell: “Two major markets, South Korea and Australia, experienced negative growth, while Hong Kong, Singapore and New Zealand grew less than 5% based on rate card values, which probably means negative growth in actual billing.”
“Even China, a strong growth market in the last couple of years, saw its rate of growth decline by half this year,” continued Martell. “South Korea suffered a significant 8.6% drop and appears to have become a victim of the economic downturn and the global dot.com implosion. Advertising in finance and banking dropped a hefty 36% and computer and IT dropped 18%."
China remained the largest advertising market within the region, recording a ratecard spend of US$2.5bn – 17.5% up on 2000, but a marked slowdown on preceding years. Hong Kong’s modest 4.8% growth relegated South Korea to number three position with spend down to US$753; while Australian spend dropped 3.4% to US$631 million. New Zealand achieved just 2% growth to US$160 million.
News source: Daily Research News Online