European ad spending takes a dive
Falls 4.2 percent during 2012
April 12, 2013
The United States has largely recovered from the recession that dragged down ad spending in 2008 and 2009, finishing the past three years with advertising growth.
But Europe hasn’t been so lucky.
In fact, the situation in Europe is getting much, much worse.
The continent suffered a 4.2 percent decline in ad spending in 2012, according to data released yesterday by Nielsen. That’s much worse than the 0.3 percent decline Europe saw in 2011.
And it compares to a 3.2 percent worldwide increase in ad spending.
“Weak European economies are constraining ad spending in European countries,” says Brian Wieser, senior analyst at Pivotal Research Group.
Things got worse as the year closed. Ad spending was off 5.3 percent in fourth quarter, with the region continuing to battle problems on a number of fronts.
Unemployment in Greece grew to a record-high 27.2 percent, and the banking system in Cyprus essentially collapsed. The economies in Italy and Spain are suffering greatly.
And extreme winter weather cost the region some $1.8 billion in economic activity, finds a new report from Aon Benfield Group.
The problems made small ripples across the Atlantic, but the European difficulties shouldn’t curtail ad spending in North America, which grew by 3.1 percent last year.
“There is no meaningful impact of Europe’s issues on total U.S. advertising spending growth at this time,” Wieser says.
“Advertisers have generally reduced lead times for making budget commitments in most instances (excluding network TV buying) in order to maximize flexibility in the event of a truly contagious event, but the absolute budget growth is more closely aligned to the generally weak state of the American economy.”
Total global ad spending was up 2.5 percent in fourth quarter, following a 4.3 percent gain in second.
Every region except Europe was up for the full year, with Middle East/Africa leading with 14.6 percent growth, including a 20.4 percent gain for Egypt.
Small bump for Thursday ‘Big Brother’
Programming blog: Latest pickups and cancellations
Real loser in digital ads surge: TV
Millennials barely watch regular TV
‘Wet Hot American Summer,’ better
Rachel, I just got a counter offer. Advice?
Tell us your thoughts on radio
Weekend TV: Degrassi kids graduate
Cable overnights: ‘Dance’ improves slot
Coverup: Cosmo going under wraps
Nielsen examines Jen and Ben and Jen
Study: Tube time really adds up over the years
NBC dominates with ‘Talent’ special
- Andrea Gustafson becomes design director at Havas Worldwide
- Tim Dingersen and Morgan Leykam join Reason2Be
- Danielle Maged becomes EVP of partnerships at Fox Networks
- Margaret de Streel rises to international editor at Wall Street Journal
- Arthur Gregg Sulzberger rises to associate editor at The NY Times
- Alex Berkett becomes SVP of corporate development at Viacom
- David O’Connell rises to EVP of production management at NBCU
- John Cook becomes acting executive editor at Gawker
- Vicky Ward and David Bouley join Town & Country
- Scott Nelson becomes head of Viber North America
This week’s broadcast ratings
This week’s cable ratings
This month’s new media traffic data
This week’s top movies, songs and books
This week’s daypart ratings
This week’s younger viewer ratings
Assistant media planner job in Atlanta
Local marketing specialist wanted in Greensboro
Part-time media buyer job in Lake Bluff, Illinois
Media buyer/planner wanted in Louisville
Assistant media planner opening in Atlanta