Get a demo Do I subscribe? News sign-up

‘Soft’ First Quarter for Asia Pacific AdSpend

News, 16 July 2001

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 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