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Nielsen: Telecoms and FMCG brands increase ad spend most in 2012

While global advertising spending increased overall in 2012, not all sectors reaped the benefits. The telecommunications, FMCG and media sectors saw the biggest increases, earning year-over-year jumps of 7, 6.8 and 5.8 percent, according to Nielsen’s quarterly Global AdView Pulse report. Comparatively, former top performers like healthcare and durables saw reduced spending for the year.

Although telecommunications continued to experience the most significant growth (7%) in ad spend in 2012, this sector remains relatively low in the ranks based on share of total advertising spend, falling into the seventh spot of 11 categories. With markets like Latin America and the Middle East and Africa toting double-digit growth (35.6 and 13.2 percent respectively), this sector appears poised to move up in the ranks in 2013. 

Fast-Moving Consumer Goods (FMCG)
FMCG follows closely behind telecommunications, posting a strong year-over-year increase of 6.8 percent on the heels of a 9.5 percent ramp-up in fourth quarter spending. These increases and the sector’s long-standing position as leader based on share of ad spend (25.1%) illustrate the crucial role that FMCG plays in driving advertising spend globally.  

Automotive advertising spend slipped in the fourth quarter (down 2.8% compared to Q4 2011), resulting in modest growth of 3.4 percent for 2012. The sector ranks fifth based on its 7.8 percent share of global ad spend.

Entertainment, the number two sector based on share of global ad spend, falls very closely behind automotive based on percent change in ad spend for the year. Despite a nominal 3.1 percent year-over-year increase, it’s 11.8 percent share proves the category is a major player in the global advertising industry and that entertainment companies are continuing to invest.

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