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Advertiser Optimism Highest in 7 Years
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27 February 2014 - 22:10, by , in AP Blog, Comments off

After Two Years of Essentially Flat Overall Optimism, Agencies and Marketers Plan Greater Spending Increases in the First Half of 2014.

NEW YORK – February 27, 2014 – AIR Wave 20 shows a strong uptick in advertiser optimism for the first six months of the year, the biggest such move since Spring of 2011. Following a slight dip in Wave 16 (Fall 2011), advertiser sentiment has been on an upswing for four consecutive Waves. Overall optimism, at +21, is the highest recorded level since 2007.

The AIR Advertiser Optimism Index reflects the advertising spending plans of media decision makers, agencies and marketers, representing the largest advertisers in the United States. It is derived from the response to one question: In the next 12 months, do you plan to increase, decrease, or maintain your advertising expenditures?  The percent planning to increase minus the percent planning to decrease represents the measure of optimism.

Advertiser Optimism by Medium

Once again, new media — led by mobile, digital and advanced television—possesses the highest level of optimism among media buyers over the next 12 months. Cable and, to a lesser extent, broadcast TV continue to hold their own. But print media (magazines and national newspapers) continue to suffer at the expense of all other media.

In this Wave of AIR, Mobile optimism declined slightly while digital showed a corresponding rise in advertiser optimism. First measured by AIR in Wave 17 (Spring 2012), advertiser optimism for Advanced TV has climbed in three out of four six-month waves. Cable eased slightly from Wave 19 / Spring 2013 to Wave 20 / Fall 2013, while Broadcast has essentially gone unchanged since Spring 2010. Magazines have been stable since a big dip in Spring 2012, while National Newspapers have declined.

Advertiser Optimism by Ad Category

Across all 16 advertising categories measured, digital video and mobile showed the highest optimism across media buying respondents, followed by digital search and display. In the mobile space, alcoholic beverages were far and away the most optimistic category; entertainment took the top spot in digital video. National newspapers had three positive categories: technology, beauty / toiletries and auto.

About author:
Frank brings extensive media industry and advertising agency expertise to Advertiser Perceptions, namely as a top-level executive at Ziff-Davis, and Papsadore Direct / Direct Results Group, the advertising agency he co-founded in 1992. His clients included Ziff Davis, Softbank, IDG, CMP, Microsoft, Intel, Saucony, IDG Books’ For Dummies, Comcast, Verizon, and literally hundreds of other leading and emerging companies. Frank lives on Cape Cod with his young son Max, and his black and tan coonhound Zippy.

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