Magna has revised its media advertising revenues forecast for 2010 from a ‘1% decline’ to ‘3% growth’. However, this year will be as good as it gets until 2015, it cautions.
This comes on the back of increased consumer confidence and “better than expected??? results in Q4 of 2009. TV advertising is also reversing the trend after “significantly outperforming??? market expectations resulting in increased forecasts from a 4.3% decline to 3.5% growth ,a major turnaround in anyone’s book and music to the ears of the ad man who believes all great campaigns must start on tv!
It will come as no surprise to anyone that media revenue has fallen drastically over the last couple of years and it’s still predicted that this year’s media economy will only reach £11bn, still down on the £11.3bn achieved way back in 2004.
We’ve seen a huge scramble from agencies large and small to get onto the digital bandwagon in an attempt to stop falling income streams and in the city’s largest media agencies you will now find the digital teams dwarfing the number of broadcast and press staffers. This is reflected by the highest forecast growth rates for search and display of 12% and 5.7% respectively.
Whilst these green shoots will be welcomed by advertising agencies and media owners it probably means good short term gains for Manchester PR agency’s as companies continue to see increased value in PR and protecting their reputation. (see earlier blog post here…).
There’s still a long way to go but at least the economy seems to be grinding in the right direction.
