TORONTO: The Institute of Communications and Advertising, representing Canada's communications and advertising agencies, has published its latest quarterly review of the nation's marketing budgets.

The ICA/Canada Post survey is conducted by UK specialist NTC Research, and is based on information from a panel of 270 senior marketing executives in Canadian companies.

The study shows that current marketing budgets were revised upward in Q2 2007, signalling a further improvement to marketing spend in the year to date.

Budgets for the year had initially been set higher than 2006 and the Q2 revision builds on a previous upward revision in Q1.

However, although 21% of companies reported an increase to their budgets in Q2, this was offset by a 13% rise in the number reporting a decline - making the net upward revision of 6% the weakest since Q1 2006, reflecting a slight drop in business optimism.

Says ICA president Jani Yates: "The latest upward revision to 2007 annual budget is particularly encouraging as it builds on already strong budget setting at the outset of the year and reflects healthy corporate balance sheets.

"This therefore bodes well for economic growth in the second half of 2007, although some moderation in the pace of expansion for the strong rate seen in Q1 is signalled."

For further information on the report click here.

Data sourced from ICA (Canada); additional content by WARC staff