Group M predicts the loss of household names
Posted by Simon Day on June 5, 2009 at 6:04 AM
The world's largest advertising firm, Group M, announced it believes advertising revenue for print media will decline much more than expected, leaving some smaller publications without any ad income, The London Daily Times reported Friday.
The ad agency's claims rejects other industry predictions that see newspaper advertising sectors recover in the second half of this year, and instead claims the decline could see a dozen magazines and newspapers, including some "household names," forced into closure. The agency believes the smaller and economically weaker publications will fall by the wayside, while the larger papers are able to survive the downturn.
The ad agency's claims rejects other industry predictions that see newspaper advertising sectors recover in the second half of this year, and instead claims the decline could see a dozen magazines and newspapers, including some "household names," forced into closure. The agency believes the smaller and economically weaker publications will fall by the wayside, while the larger papers are able to survive the downturn.
The WPP group in London predicts advertising declines of 18.6 percent for national newspapers, 32 percent at regional newspapers and 20 percent at consumer magazines. The Daily News did not specify if the numbers are global, or for the United Kingdom.
"No previous ad recession has put household media names at risk like this one has, from local newspapers to high-street magazines to national TV channels. Advertiser demand is set to remain weak this summer so it is possible mergers, restructures and closures will accelerate as we move into the fourth quarter," said Adam Smith, Group M futures director.
"No previous ad recession has put household media names at risk like this one has, from local newspapers to high-street magazines to national TV channels. Advertiser demand is set to remain weak this summer so it is possible mergers, restructures and closures will accelerate as we move into the fourth quarter," said Adam Smith, Group M futures director.
0 TrackBacks
Listed below are links to blogs that reference this entry: Group M predicts the loss of household names .
TrackBack URL for this entry: http://www.editorsweblog.org/mt/mt-tb.cgi/18404
Leave a comment