Outdoor ad spend stands strong in September; cuts into TV and Digital shares: SMI
Outdoor media maintained its growth trend in September 2022, with a 62.6% spike in ad spend year-on-year (YoY), while Cinema delivered another strong month with ad revenue up 150.6%, the latest Standard Media Index (SMI) figures show.
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However, the Outdoor growth might have come at the expense of TV and Digital, as spends in both categories were cut back 1.1% and 5.1% respectively.
SMI AU/NZ managing director Jane Ractliffe said: “Each of the TV, Outdoor and Digital media compete fiercely for the ad campaigns requiring mass audiences so it’s clear Outdoor’s success has dented the fortunes of the other larger media.”
All other media formats had their share of the growth, including Radio (up 5.6% or 6.1% with Digital Audio added), News Media (up 4.2% or 7.4% with Digital News added), and Magzines (up 18.8% or 22% with Digital titles included).
The overall ad market in Australia continues to recover post-COVID. The total value of ad spend grew 6.6% to $774.9 million in September, putting the market 0.7%, or $5.5 million, below the record September level set in 2018.
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At the current growth rate, the size of total ad market spending could move beyond the record $8.4 billion achieved last year.
Ractliffe said the market’s extraordinary resilience looks set to continue into October, with SMI’s Forward Pacings data showing bookings (ex Digital) back just 7% with that payment data extracted when there was still a full week of trading to occur.
“Australia’s ad market continues to disprove the pessimists, with ad spend nudging a record level in September as Automotive and Travel advertisers return strongly to the market and the Outdoor and Cinema media continue their extraordinary recovery from the impact of COVID,’’ she said.
“Overall ad demand is clearly very robust and as there’s a very strong correlation between ad spend and GDP it does suggest the current wave of economic gloom maybe misplaced. There maybe a few advertisers taking a very cautious approach and reducing media investment, but the SMI data proves the vast majority are continuing to grow their ad spend.’’
Steve Allen from Pearman Media said: “Cinema is trending back quite quickly; last 3 months measure for People 14+ is up by 50+% and the 4 weeks trending is up by 33+%. Cinema does not seem to be affected by economic conditions, so its outlook is still very positive. Cinema admissions for 2022 are likely to be around 70 million. There is still a little way to recover, but Cinema should be fully recovered by 2023.”
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Darcy Song was a reporter at Mumbrella, covering media owners, adtech and social platforms. She left in October 2023.
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Seeing completely different things… starting to see a serious pullback in Mutinex data.
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