Nine and QMS revenue soars while total ad demand down: Guideline SMI
While the Paris Olympics created an “abnormal” month for ad spend in August – primarily for broadcaster Nine Entertainment and outdoor partner QMS – total ad demand was down 6.3% with audio and news publishing taking big hits.
According to the latest Guideline SMI data, Nine Entertainment’s August revenues were up 32.3% thanks to growth in both its linear TV and digital streaming businesses. The latter’s ad spend more than doubled in the month, delivering a record level of ad spend for video ad format-based campaigns.
Olympic outdoor partner QMS also had a successful month – reporting an 11.3% increase in revenues, however the overall outdoor sector dropped 1.5%.
“Both NEC and QMS reported huge growth due to their Olympic associations, while the more than doubling of ad spend to Nine’s streaming sites also had the added impact of delivering a record level of August ad spend for video ad format-based campaigns,” said Jane Ractliffe, APAC managing director at Guideline SMI.
“The ongoing growth of streaming TV services is continuing to challenge display inventory’s historic dominance among the key digital ad formats for which we report ad spend, with video ad format spend now just $30 million below that of display so far this year.”
Looking to other major media in August now, and cinema had a huge month with 58.2% revenue growth thanks to blockbuster film Deadpool & Wolverine and the controversial It Ends With Us.
Magazines also saw a boost in August, up a total of 31.1% – 8.9% in traditional with the relaunch of Cosmopolitan Australia among others, and 141.3% in digital.
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News publishing took the biggest hit, with newspaper revenues down 18.5% and digital down 38.4%.
“As the market is currently very short we’re seeing a longer than usual delay in some digital campaigns being paid, so we are expecting the digital decline to improve and as that happens there will also be a small improvement in the current total market decline,” Ractliffe explained.
For the calendar year-to-date, however, data shows the market is down by only 1.3% total, but outdoor, digital, cinema, and magazines are in positive territory at +5%, +2.8%, +8.8%, and +8.4%, respectively.
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Lauren McNamara is the associate editor at Mumbrella, covering the creative and PR beat. She joined in November 2022 as editorial assistant, after completing a Bachelor of Communications (Journalism) at UTS.
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