According to the “Media Advertising Forecast” from MAGNA, nearly all media sectors will experience advertising spending declines in 2009.
Hardest hit will be traditional media such as newspapers, radio, magazines and TV, each falling by 14% or more.
Even the once-indomitable online ad space is faltering, with MAGNA expecting a 2.2% total spending decrease. …
Back in December I wrote a post about maintaining the status quo in a down economy. In that post I reference the auto industry and how some companies, like Hyundai had an incredible opportunity to increase share of voice and ultimately sales as a result of their competitors reducing ad spending. Without doing so much as maintain status quo, there was tremendous opportunity to take market share away from the competition. Apparently The New Yorker thinks the status quo is not even enough and goes as far as saying that ratcheting up spending during a downturn may be the best way for a company to make it through the recession. While that might sound counterintuitive, it’s the theme of several pieces of research that James Surowiecki highlights in this week’s column in The New Yorker.
I normally focus on issues that deal with digital and online marketing, however while reading the news today I came across an article that in my opinion shows the world as we know it is falling apart. Let me caveat this with the fact that I personally do not eat cheese. I do not like the smell, the taste, the texture, I just avoid it as much as possible. With that knowledge I bring you news that with data showing growing food lines now in most major cities in Europe, the Italian government has come up with a way to help the needy while propping up one of its iconic industries.
Advertising Age reported that Fitch Ratings gave a gloomy outlook for advertising in 2009. The word used to describe the upcoming year was “gloomy”. They are predicting that the advertising environment next year will be the weakest it’s been since the 2001 downturn and that was the worst ad recession since 1970.
What most people don’t realize is that it is not just about national, mass advertising that is in risk. There is a substantial amount of local advertising as well. It is the local advertising that drives so much of the production end of the industry that it in fact could be the most impacted.
It is common practice to ensure that your business is not attached at the hip to one or two key clients. When that happens, your company goes as the client goes. It seems there is a lot of chatter in the market about the implications of a major collapse in the auto sector. Take a look at the chart below and see the potential impact of a collapse in Detroit. …
Articles of Interest