
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
-
‘We’ve become quite experienced in negativity’ – Liverpool’s Slot
3 hours -
Legendary manager Lucescu dies days after resigning
4 hours -
One dead as train travelling 99mph collides with lorry in France
4 hours -
Airlines cut flights and hike fares as fuel prices surge
4 hours -
Kane inspires Bayern to first-leg advantage over Real Madrid at Bernabéu
4 hours -
Wireless Festival cancelled after Kanye West blocked from coming to UK
4 hours -
Wa West MP commissions five boreholes for the benefit of his constituents
4 hours -
Havertz’s late strike hands Arsenal narrow first-leg advantage over Sporting
4 hours -
Damang mine award: Minority not against Ghanaian participation; we’re asking for fair process – Konadu
5 hours -
NPA to enforce stricter registration rules for petroleum tankers
5 hours -
Manhyia South MP laments decline in hospitality operations in his constituency
6 hours -
How a simple clean charcoal innovation could benefit Ghana’s climate future
6 hours -
NPA, COMAC launch Safety Week 2026 to promote risk management in petroleum sector
6 hours -
Stakeholder engagement resolves onion trade impasse
6 hours -
Gender Ministry holds staff durbar, welcomes new Chief Director
6 hours