Ad Spending Rose 0.6% In 2007, Nielsen Reports

U.S. advertising spending increased 0.6% in 2007 versus 2006, with the Internet continuing to demonstrate the strongest performance—up 18.9%—of any media category, Nielsen reported Monday.

According to preliminary figures from Nielsen Monitor-Plus, ad spending was mixed across media with gains in some categories and declines in others. In addition to Internet advertising, other media categories that showed an increase in 2007 were: national magazines, up 7.6%; outdoor, up 7.2%; national Sunday supplements, up 4.9%; national cable TV, up 2.2%; and Spanish-language TV, up 1.5%.

Print took a hit in 2007. National newspapers saw a 7.7% drop in ad spending, while local newspapers were down 7.5%, Nielsen said. 

U.S. advertising growth was substantially lower than other regions of the globe, with Asia-Pacific reporting a 12.1% increase and EMEA (Europe, Middle East, and Africa) up nearly 5%. Newspapers have shown a steady decline year-over-year in the United States, while all other countries measured by Nielsen reported growth for this media category.

Of the top 10 advertisers, No. 1 Procter & Gamble increased its spending by 6%, to $3.73 billion. No. 2 AT&T spent 2% more, up to $2.15 billion. Verizon saw a 6% increase in its ad spending, to $1.66 billion.

In contrast, Time Warner cut its ad spending last year by 14%, to $1.47 billion, and The Walt Disney Co. spent 9% less, or $1.19 billion, according to Nielsen.