Major-media advertising spending fell 7.8 percent through the first three quarters of 2001, to $68.8 billion, but cable's piece of the pie rose 2.1
percent to more than $7.8 billion, according to CMR.
Other media sectors that showed growth over the same span were syndicated TV,
outdoor advertising and Sunday magazine supplements, said CMR, a Taylor Nelson
Sofres company formerly known as Competitive Media Reporting.
Broadcast television and radio showed steep declines from January through
September of 2001.
CMR estimated that network TV fell 8 percent, to about $15.3 billion, and
spot TV tumbled nearly 18 percent, to $13.1 billion.
Network radio sales declined by 11 percent, and spot radio was down 18.6
The No. 1 and No. 2 overall ad spenders, General Motors Corp. and The Philip
Morris Cos., slashed their ad budgets by 28.4 percent and 20.6 percent,
respectively, over the first nine months of the year.
The only top-10 advertiser to boost spending was AOL Time Warner Inc., which
was up 11.9 percent, to almost $1.1 billion, CMR noted.
'The tremendous effects of the Sept. 11 terrorist attacks, combined with an
economy that has continued to spiral downward, had a significant impact on
third-quarter advertising,' CMR CEO David Peeler said in a prepared statement
'Even though the ad world may experience a slight holiday-season boost in the
fourth quarter, we don't expect to see spending numbers to turn around
significantly until the economy does so first,' he added.