Costs of advertising on ITV have plummeted so much that a typical
400 rating 30-second ad campaign for an ABC1 adult audience is 13 per
cent cheaper than last year.
It is £184,000 cheaper on average to run a TV campaign than last
year, when the same campaign would have cost £1.4 million.
Figures from MediaVest for the period of January to August 2001 show
that campaigns for an adult audience are also 13 per cent down, a saving
However, there is not the same cost savings to be made for
youth-targeted brands where the cost of a 400 rating 30-second ad
campaign is 8 per cent down. This still leads to a potential saving of
£104,000 per campaign on average.
There are potential bargains to be had for last-minute TV campaigns, but
evidence suggests that advertisers are sticking with planned campaigns
and opting for bottom-line savings.
Kevin West, a TV buying director at MediaVest, said: "We are expecting
costs to be 20 per cent lower year on year by November but advertisers
are still not rushing in, most are holding on to their money. At the
moment there is some fantastic value and those advertisers which are
spending are reaping the benefits."
BT has spent 40 per cent less on TV for the period of January to July
2001. Its spend has fallen from £43 million in 2000 to £25
million in 2001, according to the latest figures from AC Nielsen
Coca-Cola has dropped its spend by nearly a quarter to £15 million
from £19.7 million.
Meanwhile, COI Communications has upped its spend by £19.4 million
to £46 million.