Internet Ad Spending to Climb 14.4% in 2008

According to a recent press release from TNS Media Intelligence ad spending is expected to increase by 4.2% in 2008, with the Internet ad spending increasing by 14.4%.


Internet to Continue Double Digit Growth with Spot TV, Spanish Language Media, Outdoor and Cable Network TV Higher than Market Average.

New York, NY, January 7, 2008– Total U.S. measured advertising spending is projected to increase 4.2 percent in 2008, according to the full-year forecast released today by TNS Media Intelligence, the leading provider of strategic advertising and marketing information. Measured expenditures are forecast to grow by 3.6 percent in the first half of 2008 followed by a gain of 4.7 percent in the second half. “2008 is shaping up as a year of contrasts,” said Jon Swallen, SVP Research of TNS Media Intelligence. “Aside from the continued double digit growth rate of Internet display advertising, spending gains will be driven predominately by the powerful combination of Summer Olympics and record-setting levels of political advertising. Offsetting this, a weakened economy will have a dampening effect on the broader, core advertising market.”


PERIOD % CHANGE vs. 2007
First Half 2008 3.6%
Second Half 2008 4.7%
FULL YEAR 2008 4.2%
Source: TNS Media Intelligence
1 Defined as all TNS MI measured media, including: Network TV; Spot TV; Cable TV; Syndication TV; Hispanic Network TV; Consumer (PIB) Magazines; Sunday Magazines; Local Magazines; Hispanic Magazines; Business-to-Business Magazines; Local Newspapers; National Newspapers; Hispanic Newspapers; Network Radio; Spot Radio; Local Radio; Internet; and Outdoor.
Internet display advertising is forecast to continue growing at double-digit rates in 2008 with Spot TV, Spanish Language Media, Outdoor and Cable Network TV also exceeding the overall market average. Consumer Magazines and Network TV are projected to post small gains versus 2007, while Business-To-Business Magazines and Newspapers are expected to experience outright declines in ad spending.

(Ranked by Growth Rate)

  % CHANGE vs. 2007
Internet1 14.4%
Spot TV 9.9%
Spanish Language Media2 7.8%
Outdoor 5.5%
Cable Network TV 5.0%
Consumer & Sunday Magazines3 3.6%
Network Television 2.7%
Syndication TV 1.3%
Radio 0.7%
Business-To-Business Magazines -0.1%
Newspapers3 -0.9%
Source: TNS Media Intelligence
1. Internet estimates reflect display advertising only
2. Spanish Language Media includes Hispanic Network TV; Hispanic Spot TV; Hispanic Magazines; and Hispanic Newspapers
3. Magazine and Newspaper estimates do not include web site advertising
Share figures may not add to 100.0% due to rounding
“The Internet will continue to gain share, principally at the expense of newspapers,” said Swallen. “We track share of spending on a rolling two-year basis, in order to control for the biennial fluctuations associated with the Olympics and elections – events that disproportionately benefit television media. Our projections for the 2007-08 cycle indicate television and magazines will maintain their shares, while the Internet will move past radio.”

Share of Measured Advertising Spending by Media:
2007-08 vs. 2006-07

MEDIA TYPE 2007-08 (24 months) 2006-07 (24 months)
TELEVISION 44.1% 44.0%
MAGAZINES 21.1% 20.9%
NEWSPAPERS 17.2% 18.2%
INTERNET 8.0% 7.1%
RADIO 7.0% 7.3%
OUTDOOR 2.6% 2.6%
TOTAL 100.0% 100.0%
Source: TNS Media Intelligence
Note: The sum of the individual media may differ from total due to rounding
About TNS Media Intelligence
Established in 23 countries with more than 16,000 customers, TNS Media Intelligence is part of TNS, the global marketing insight and information group. TNS Media Intelligence monitors 3 million brands worldwide across a multitude of media, including TV, radio, print, Internet, cinema and outdoor. The company offers a full range of insights and analyses, including the tracking of advertising expenditures and advertising creative, as well as news and social media monitoring and sports sponsorship evaluation.

In the U.S., TNS Media Intelligence is the leading provider of strategic advertising intelligence to advertising agencies, advertisers, and media properties. The company’s tracking technologies collect advertising expenditure and occurrence data, as well as select creative executions, for more than 2.8 million brands across 20 media in North America. The U.S. headquarters are in New York City with sales locations in major markets throughout the United States.

About TNS:
TNS is a global market insight and information group.

Our strategic goal is to be recognized as the global leader in delivering value-added information and insights that help our clients to make more effective decisions.

As industry thought leaders, our people deliver innovative thinking and excellent service to global organizations and local clients worldwide. We work in partnership with our clients, meeting their needs for high-quality information, analysis and foresight across our network of over 70 countries.

We are the world’s foremost provider of custom research and analysis, combining in-depth industry sector understanding with world-class expertise in the areas of Retail and Shopper Insights, Stakeholder Management, New Product Development, and Brand and Communications. We are a major supplier of consumer panel, media intelligence and Internet, TV and radio audience measurement services.

TNS is the sixth sense of business.


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