We’re happy to inform that advertising as a market is back on the rise. And not only online advertising, but all advertising in general.
As reported by Nielsen.com, ad spend overall increased 3.1 percent in Q1 2012. However, internet ad spend experienced the biggest increase of all media types. In Q1 2012 advertisers spent 12.1 percent more money than one year before.
Here’s the full table for different media types as published on Nielsen.com:
- Television – 2.8%.
- Radio – 7.9%.
- Outdoor – 6.4%.
- Newspapers – 3.1%.
- Magazines – (1.4%) – the only decline in the study.
- Internet – 12.1%.
- Cinema – 4.1%.
TV still attracts the majority of advertising dollars, but the fact that internet is on such a rise means that publishers around the world understand the potential it has.
Internet is probably the only medium that allows any given advertiser to target any audience and any demographic, do it effectively, and receive some measureable results that can be tracked and improved upon later on.
Here’s an excerpt from the Nielsen’s report talking about internet advertising:
“Online ad spend was a bright spot for the industry, with growth around the globe. Growth was particularly notable in Europe (12.1%), Latin America (31.8%) and the Middle East & Africa (35.2%).”
This regional results are not surprising, and they only prove that emerging markets are where we should search for new opportunities, both in terms of promoting products as an affiliate and advertising as a merchant (if you have your own products).
What This Means For Affiliates?
Surprisingly, affiliates were doing quite good during the recession, at least the smaller and medium ones (below $100 daily ad spend).
Due to the fact that some of the bigger players were waiting the difficult situation out, a number of people actually noticed lower costs of various forms of advertising.
Now, however, the competition may increase. Such growth – 12.1 percent year on year – can be noticeable even for smaller investors (advertisers).
On the bright side, this means that the market is slowly starting to get back in shape. And since advertisers are spending new money, customers are probably ready to spend money as well.
What’s your take here? Did you see any increase in your advertising costs (or results) during the last 12 months?