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Thailand: Media Intelligence predicts 6% ad spending hike for 2018

Media industry spending is expected to rebound this year, based on the growing online and out-of-home media outlet segments,¬ as well as a positive outlook for Thailand’s economy, says researcher Media Intelligence (MI).¬
2684426Media director Pawat Ruangdejworachai forecasts total media spending of 91 billion baht, an increase of 6% from last year, which was considered the worst level the industry has¬ seen since 2010. He said that with the estimated hike this year, the industry could expect a relatively brighter future, though the revenue projection remains low.¬
Media spending would need to increase by at least 10% to make up for massive losses over the past two years, Mr Pawat said.¬
He said there are many events planned for the summer and long holidays like Songkran that should result in positive advertising spending.¬
Media spending over the past two months has contracted 7%, Mr Pawat said, adding that there should be greater movement from the middle of this month until May.¬
“Many brands and advertisers, especially fast-moving consumer goods companies, have trimmed back media budgets because of the sluggish economy but are putting efforts into boosting¬ sales through online campaigns and in-store media,” he said. Overall media spending for television (analogue, cable, satellite and digital) has decreased every year.¬
In 2016, 62% of total media spending went to TV, dropping to 56.6% in 2017.¬
“TV media is still powerful in terms of engagement with mass audiences,” Mr Pawat said. “Some channels are designed for everyone, and others for urban people.”¬
But for online media, MI reported that spending has increased from 9% to 14%, albeit still a small proportion when compared with TV.¬
Out-of-home media outlets (transit, in-store and outdoor) also saw spending jump to 9.5% of the industry total last year from 7.7% in 2016.¬
Print media, by contrast, saw the biggest drop, falling from 9.4% to 7.9%.¬
Mr Pawat said the top-five media spenders by sector are home shopping and direct marketing, the government, drinks manufacturers, pickup truck makers and mobile companies.¬

Source:¬ https://www.bangkokpost.com/business/news/1427647/media-intelligence-predicts-6-ad-spending-hike-for-2018