Meagre advertising growth in first four months

Advertising spending in Thailand in April dropped 1.16 per cent year on year to Bt7.4 billion, with all the mass media affected, according to Nielsen Media Research.
However, advertising expenditure in the first four months rose 3.15 per cent from the same period last year to Bt29.29 billion, the market-research company announced yesterday. In April alone, television ad spending dropped 7.23 per cent to Bt4.35 billion, radio spending was down 2.94 per cent at Bt529 million, newspaper ads were down 0.26 per cent at Bt1.15 billion, and magazine advertising dropped 14.49 per cent to Bt425 million. However, cinema ad spending rose 343 per cent to Bt426 million, along with a 67.86-per-cent increase in advertising at retail outlets and an 18.07-per-cent increase in mobile media advertising. The advertising industry's meagre growth in the first four months came at a time of high media inflation. Sorn Chongsricharn, CEO of Y&R advertising agency, said that the media inflation in the first quarter had grown by 7-9 per cent from the same period last year. As the inflation was higher than the 3.15-per-cent growth in ad spending in the period, it indicates that the entire industry experienced a minus growth rate, he said. Sorn said the recent public craze for Jatukam Ramathep amulets, or what he called "The Miracle of Round", had been one of the biggest phenomena of the period and was being used by many marketers in their promotional campaigns. Jatukam Ramathep became a brand and enjoyed the highest media spending of about Bt60.4 million in April, he said. "I have seen even toothpaste manufacturers using Jatukam amulets as a premium in their promotional campaigns," said Sorn. He said there was a great number of makers of the amulets, both temples and private and public organisations, who had spent a huge amount on media to create public awareness of their products and applied the same marketing principles and tactics successfully used by consumer-product firms. Sorn said that Jatukam Ramathep was also the brand with the greatest variety: there have been about 340 models of Jatukam amulets since the original version was created in 1987. Narong Trisuchon, general manager of Optimum Media Direction and vice president of the Advertising Association of Thailand, said the creators of Jatukam Ramathep amulets used diversified media in their advertising, such as newspapers and TV commercials. "However, in my view, Jatukam Ramathep is only a phenomenon and does not benefit local advertising agencies as most of the makers spend their advertising budget directly on the media," he said.
Kwanchai Rungfapaisarn The Nation
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