Audio By Carbonatix
Global digital advertising spend will outstrip newspapers’ print revenues for the first time next year, according to forecasts from Aegis Group’s media agency, leaving traditional publications scrambling for growth.
In its first forecasts for 2013, Aegis Group’s Carat predicts the global advertising market, for digital and print combined, will grow by 5.8 per cent next year, only just below the 6 per cent forecast for 2012.
Since August, Carat, one of the world’s largest media buying agencies by spending, has halved its forecast growth for the European media market to 1.5 per cent this year and trimmed its North America prediction to 5 per cent, despite the uplift of the London Olympics and the US presidential election.
Globally, television is expected to continue robust growth, up by 5.5 per cent this year and 5.3 per cent next. But most of the media industry’s growth lies in digital, with Carat forecasting a rise in clients’ spending of 16.5 per cent in 2012 and 13.5 per cent in 2013, taking its total share of ad budgets to 15.5 per cent next year.
That is ahead of newspapers’ 14.3 per cent share for 2013, but still far behind TV, steady at 45.7 per cent.
Jerry Buhlmann, Aegis chief executive, said print media continued to thrive in less-developed media markets such as India and China.
“Newspapers are actually growing in a lot of the faster-growing regions,” he said. “The global picture is not quite as uniformly gloomy as it appears to be in developed markets.”
Mr Buhlmann was speaking as Aegis, among the top six marketing groups, announced strong results for 2011, with like-for-like revenue growth at 9.9 per cent, ahead of rivals such as WPP , and better than most analyst expectations.
Excluding July’s sale of Synovate, the research unit, revenue rose 20.6 per cent to £11.4bn in 2011. A strong fourth quarter, up 12 per cent on a like-for-like basis, improved on the third. Pre-tax profits grew 32.3 per cent to £161.8m. Aegis plans to pay £200m in special dividends off the Synovate sale.
Excluding this one-off payment, total dividends for 2011 increased by 16 per cent to 3.2p a share, which Mr Buhlmann described as “a clear indication of the confidence we have in Aegis Group’s future”.
DISCLAIMER: The Views, Comments, Opinions, Contributions and Statements made by Readers and Contributors on this platform do not necessarily represent the views or policy of Multimedia Group Limited.
Tags:
DISCLAIMER: The Views, Comments, Opinions, Contributions and Statements made by Readers and Contributors on this platform do not necessarily represent the views or policy of Multimedia Group Limited.
Latest Stories
-
Education in Review: 2025 marks turning point as Mahama resets Ghana’s education sector
2 minutes -
Nigeria AG orders fresh probe into alleged intimidation and assault of Sam Jonah’s River Park estate staff
8 minutes -
Concerned Small Scale Miners commend GoldBod’s efforts in addressing gold smuggling
18 minutes -
Haruna Mohammed claims Ghana Audit Service undermined
24 minutes -
5 members of notorious robbery syndicate in Tema, Accra arrested
25 minutes -
BoG, SEC and FIC hold Joint sensitisation workshop for Virtual Asset Service Providers
31 minutes -
How Nico Cantor became one of the top voices in American soccer
1 hour -
Ghana colorectal cancer patients face low survival rates, KNUST study finds
1 hour -
Police arrest suspect in GH₵ 7.5m daylight robbery at Adabraka
2 hours -
Armwrestling: The Golden Arms’ 2025 Triumph and an Era of Unprecedented Victories
2 hours -
Ghanaian researcher wins ASCE editors’ recognition for modular construction study
2 hours -
Corruption fight: I don’t think there’s political persecution or witch-hunting – Edem Senanu
2 hours -
Police deploys personnel to heighten security ahead of watchnight services
2 hours -
Education in Review: 2025 marks turning point as President Mahama resets Ghana’s education sector
2 hours -
The Cedi ressurection: Goldbod didn’t promote Galamsey to strengthen It
2 hours
