Media Focus: Advertising market shows slight growth

In May 2014, advertising spending in the Swiss advertising market totaled 435 million Swiss francs (+7.3 million francs compared with the same month a year earlier). Overall, the advertising market is up 1.4 percent from the previous year.

Is there a connection between the announced market entry of Netflix and the 84 percent decline in TV offerings in the telco industry? No, there isn't, says the Media Focus Trend Report 2014/05. This trend has been apparent since the beginning of the year and manifested itself in a drop of 67 percent in the period from January to May 2014. The "missing" 16 advertising millions are unlikely to be made up again in the course of the current year due to the increased market saturation.

The Media Focus Advertising Market Trend Report 2014/05 (PDF)
 

Media Focus: Advertising market shows slight growth

In April, the advertising market in Switzerland grew slightly. With advertising spending of 437 million francs, the market grew by 3.7 percent in April compared with the same month a year earlier, according to Media Focus’s Advertising Market Trend Report.

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In the advertising month of April 2014, the food industry recorded 21 percent (+8.8 million Swiss francs) more advertising pressure than in the same month last year. This positive development is also a holiday or Easter effect. Easter fell on the third weekend in April this year. For example, advertising print for chocolate and confectionery rose by a whopping 34 percent year-on-year, corresponding to an increase in advertising print of 2.9 million Swiss francs. Leading the way in this product group were the chocolate manufacturers Ferrero, Lindt & Sprüngli and Chocolat Frey.

Preparation for the voting month

In the month leading up to the federal referendum on May 18, 2014, political interest groups stepped up their advertising activities. In April, advertising pressure worth around CHF 8 million (+275 percent) was recorded in the political campaigns submarket. However, the advertising communication around the Gripen fighter aircraft was almost exclusively determined by the proponents. While the supporters claimed an advertising print of 1.1 million Swiss francs in April, the No camp was almost absent with an advertising print of only 55,000 Swiss francs.

Minus trend in the vehicle market

In April, the vehicle market recorded a 12 percent (-5.5 million Swiss francs) lower advertising print than a year ago. This continued the downward trend in this submarket that has been ongoing since December. The detailed analysis shows that advertising pressure between January and April 2014 fell year-on-year, particularly for mid-range vehicles (-61 percent, -9.3 million Swiss francs) and SUVs (-16.4 percent, -9.4 million Swiss francs). SUVs (-16.4 percent, -5.0 million Swiss francs) declined significantly. Nevertheless, the vehicle sector is still the submarket with the highest share of advertising print in the overall market in 2014 (10.6 percent).

The Media Focus Advertising Market Trend Report April 2014 (PDF)

 

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