“Ongoing economic fluctuations and the unpredictable political situation have obviously led to declining advertising spending,” MAAT chairman Triluj Navamarat said yesterday. “However, there are better prospects for 2017, with growth expected at 3-5 per cent thanks to the government stimulus package and the relaxation of the political situation.”
In the first nine months of 2016, ad spending fell by 6.1 per cent year on year.
The highest growth was in online media at 73.7 per cent, followed by out-of-home media such as cinema ads with 17.1 per cent, outdoor media such as billboards 16.6 per cent, transit 15 per cent, and radio 2.3 per cent.
Triluj said television remained a popular traditional medium despite an 8.4-per-cent drop in advertising spending, particularly cable and satellite TV, where spending plummeted by 36.8 per cent.
Ad spending on traditional TV channels declined by 10.7 per cent.
Meanwhile, digital TV has become an up and coming medium with 6-per-cent ad-spending growth last quarter, suggesting a shift in consumer behaviour towards digital television’s wide variety of channels and content.
“This clearly provides a good opportunity for digital TV producers to design content that suits consumer needs perfectly,” he said.
Of all media, print has undergone the most significant changes. Despite a drop in ad spending by 29.2 per cent in magazines and 17.4 per cent in newspapers, free magazines have gained popularity with their highly versatile formats, such as concept magazines, advertorials, and product-launch publications.
Versatility and content creativity have become a unique strength of print media, Triluj said.
Taking all this into consideration, MAAT forecasts that by the end of 2016 total ad spending will have fallen by 10 per cent compared with last year.
Spending on TV is expected to drop by 14.4 per cent, on radio by 6.5 per cent, newspapers 19.9 per cent, magazines 26.7 per cent, and out-of-home media 8 per cent.
In contrast, spending online is expected to grow by 30 per cent, transit advertising by 11.7 per cent, and cinema ads by 3.2 per cent.
He also noted that the suspension of all advertising including paid television commercials during the official 30-day period of mourning the loss of His Majesty the King was a factor.
Meanwhile, RS chief operating officer Pornpan Techarungchaikul said normal programming at Channel 8, one of the leading digital-TV channels, would be fully resumed on November 21.