Southeast Asia ad spend continues healthy growth: Nielsen

SINGAPORE - Advertising spend throughout Southeast Asia has recorded healthy growth across mainstream media, exceeding US$5 billion in the third quarter of 2011, according to new analysis released today by global media and information company Nielsen.

 Nielsen’s Southeast Asia Quarterly Advertising Index revealed that total advertising spend across the region jumped by three per cent in quarter three 2011 compared to quarter two. The latest quarter’s result was an increase of 16 per cent on quarter three 2010 and 15 percent year-on-year. Indonesia experienced the most notable increase in advertising dollars spent in quarter three, up 24 per cent compared to quarter three 2010, followed by the Philippines (up 15 per cent) and Singapore (up 10 per cent).

“The growth in advertising spend coupled with strong consumer confidence within the region are promising signs for Southeast Asia,” noted David Webb, Nielsen’s APMEA Region, managing director of advertising solutions. “Strong advertising growth in Southeast Asia over the past year underlines the region’s resilience amidst global economic uncertainty and increasing spend in markets such as Indonesia and the Philippines echoes sentiment within the region that local economies are still thriving and capable of withstanding external shocks.”

According to the Nielsen Index, growth in advertising spend across main media was driven largely by television and newspapers – television advertising spend increased five per cent in the third quarter and 17 per cent compared to the third quarter 2010, whilst newspapers, which remained flat in the third quarter, experienced 14 per cent growth quarter-on-quarter.

Haircare, telecommunications and government department categories lead as the major sectors contributing to advertising spend across the Southeast Asia region, whilst Unilever topped the list of the region’s highest spending advertisers during the quarter three 2011 period.

“Whilst marketers throughout the region grapple with the challenge of spreading advertising budgets across a growing number of media platforms, television continues to demonstrate its un-matched ability to reach the masses, and technological developments such as HDTV, IPTV, TV on-demand and time-shifted viewing are all contributing to the ongoing appeal of television,” observed Webb. “As we look to the year ahead, the common challenge of allocation of advertising spend will again be at the forefront of marketers’ minds and all media, traditional and emerging, must look for ways to maintain audiences and demonstrate ROI in order to earn their share of advertising dollars.”