The US advertising spending plummeted in the first half of the year, beleaguered by broad cross-category weakness, a leading industry tracker revealed on Tuesday. According to TNS Media Intelligence, ad expenditure slide down 0.3 per cent to $72.59 billion January through June, compared against the corresponding period last year. The fall in ad spending has also marked the first time the measure has fallen two quarters in a row since 2001.
According to the TNS, Internet spending shot up by 17.7 per cent to $5.52 billion over the first six months of the year. At the same time, other sectors experiencing growth included consumer magazines (6.9 per cent), outdoor (3.6 per cent), and cable TV (2.8 per cent).
On the other hand, declines were experienced by newspaper (5.7 per cent), radio (2.7 per cent), and broadcast TV (3.6 per cent).
‘The newspaper industry’s own tracking shows that the rate of growth in Web advertising on newspaper sites continues to get larger, but getting larger at a smaller rate’, said on Swallen, SVP of research at TNS Media Intelligence. He further went on to conclude, ‘Still the Internet continues to take in a larger share of the pie, even as the total pie is shrinking’.