Daily Research News Online no. 2586 - US Advertising Recovers in First Half 2003

US Advertising Recovers in First Half 2003

September 8 2003

The US advertising market grew strongly in the first half of 2003, according to data from TNS Media Intelligence/CMR. The total of $61.6 billion in ad expenditures for the 6 months represent an increase of 6.8 percent as compared to the first half of 2002. Fifteen out of sixteen measured media experienced growth with Network TV the only exception.

Six media (Local Newspapers, Consumer Magazines, Cable TV, Internet, Syndication and Spanish Language TV) show double-digit percentage gains compared to the first half of 2002. Overall, advertising in the broadcast sector increased 4.7 percent to $31.3bn and print advertising was up 8.6 percent to $25.8bn.

'These first half results are further evidence that the ad recovery is well underway and that 2003 will be a very healthy year for the advertising marketplace', said Steven Fredericks, president and CEO, TNS Media Intelligence/CMR.

Cable TV posted the highest growth for the half - up to $5.7 billion, an increase of 16.7 percent, and there were also strong increases for Syndication, Spanish Language Network TV and the Internet.

Ad Spending by Media: First Half 2003 vs, First Half 20021

Media	First Half 2002 ($ Millions)	First Half 2003($ Millions)	% Change
Broadcast
Network TV	10,388.0	10,351.2	-0.4
Spot TV	7,562.6	7,574.2	0.2
Cable TV	4,894.7	5,710.5	16.7
Local Radio	3,113.1	3,245.4	4.2
Syndication-National	1,414.3	1,637.6	15.8
National Spot Radio	1,119.9	1,218.0	8.8
Spanish Language Network TV	959.2	1,107.4	15.4
Network Radio	467.6	480.2	2.7
Total For Broadcast	29,919.4	31,324.4	4.7
Print
Newspapers (Local)	9,623.0	10,715.4	11.4
Consumer Magazines	7,770.2	8,589.9	10.5
B-To-B Magazines	4,263.5	4,339.5	1.8
National Newspapers	1,413.5	1,428.0	1.0
Sunday Magazines	615.5	661.5	7.5
Local Magazines	148.6	154.5	3.9
Total For Print	23,834.2	25,888.8	8.6
Internet	2,776.5	3,201.3	15.3
Outdoor	1,191.3	1,254.4	5.3
Grand Total	57,721.5	61,668.9	6.8

Source: TNS Media Intelligence/CMR

Automotive, packaged goods and entertainment advertisers were the biggest spenders.General Motors was the top spender with $1.27bn, but second placed Procter & Gamble very nearly overtook them with a 30.7% rise to $1.26 bn. DaimlerChrysler's spend grew 26.9 per cent to $757.7 m and Johnson & Johnson 21.2 % to $611.2 m.Four other advertisers in the top ten showed double-digit percentage gains in spending.

Top Ten Ad Spenders: First Half 2003 vs. First Half 2002

COMPANY	First Half 2002 ($ Millions)	First Half 2003 ($ Millions)	% Change
General Motors Corp	1,150.3	1,271.4	10.5
Procter & Gamble Co	967.0	1,264.4	30.7
AOL Time Warner Inc	921.2	965.7	4.8
Daimlerchrysler Ag	596.9	757.7	26.9
Ford Motor Co	627.4	705.4	12.4
Walt Disney Co	529.9	632.5	19.4
Johnson & Johnson	504.2	611.2	21.2
Verizon Communications	555.2	581.7	4.8
Altria Group Inc	559.1	558.4	-0.1
Pepsico Inc	445.8	513.8	15.3
Total	$6,857.0	$7862.2	14.7%

Source: TNS Media Intelligence/CMR

Figures are based on the TNS Media Intelligence/CMR Stradegy2 multimedia ad expenditure database, using tracking technologies which collect occurrence and expenditure data for more than 1.7million brands over 16 media. Figures do not contain public service announcement (PSA) data. Local Radio includes expenditures for 32 markets in the U.S. provided by Miller Kaplan.

Further information is available from www.tnsmi-cmr.com

All articles 2006-23 written and edited by Mel Crowther and/or Nick Thomas unless otherwise stated.