Ad Spending Ticked Up 4%: Nielsen


Nielsen Media Research's Nielsen Monitor-Plus service last week said that ad spending across 11 major media rose by 3.8 percent, to almost $69.3 billion for January through September.

Last week, Taylor Nelson Sofres' CMR/TNS Media Intelligence service reported that its tabulations for the nine-month span indicated that major-media ad spending grew 2.2 percent to $84.4 billion across 15 media. (Business-to-business magazines and outdoor media were counted by CMR, but not by Nielsen.)

The two research firms arrived at different percentages of growth or decline for the various media sectors that were commonly measured.

Nielsen also found that cable grew 3.3 percent to nearly $9 billion, versus a 1 percent dip to almost $7.8 billion, by CMR's count. Meanwhile, Nielsen found the Internet was down nearly 1 percent to $5.6 billion, vs. CMR's 19.2 percent drop, to $3.8 billion, and Spanish-language TV was up 4.3 percent to nearly $1.4 billion, compared with CMR's 25.5 percent jump to $1.4 billion.

Network-TV sales for the nine months rose 7.9 percent to $14.2 billion, Nielsen said. CMR's tally was close — up 7.6 percent, to nearly $14.4 billion.

DVRs cut into ads

Perhaps casting a cloud on future growth, three-fourths of advertisers have said they would reduce spending on TV as a result of digital video recorders, which have the ability to skip commercials, according to a survey of advertisers conducted by Forrester Research Inc. and the Association of National Advertisers.

Of those willing to cut spending, 75 percent said they'd slice budgets 21 percent or more, and 26 percent said they'd eliminate 40 percent of their TV outlay.

The respondents said they'd plow money into program sponsorships and product placement. They also said they'd look at spending with other media, such as magazines, loyalty programs, electronic mail and ads on the Internet.

"Networks must tie ads closer to programs, and advertisers must transform their commercials to lure in the ad-skipper," Forrester's Josh Bernoff said in a prepared statement.

CAB: Cable's original

Giving networks some numbers they may be able to use to debunk arguments that basic-cable schedules are jammed with repeats of broadcast fare, the Cabletelevision Advertising Bureau said it found that 72 percent of ad-supported cable programming is original.

The CAB — which based its figure on a survey of 51 ad-supported networks that began in September — defines original programming as shows that make their first TV appearance on cable, spokesman Steve Raddock said.

Theatrical films that make their commercial-television debut on such basic-cable networks as USA Network, Turner Network Television and A&E Network are considered original, he added.

When the CAB conducted a similar study two years ago, it found that about 70 percent of the programming on ad-supported networks was original, Raddock said.