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QSR ad spend up 1.3% for 2009
February 25, 2010
While U.S. ad spend declined 9 percent overall in 2009, quick-service restaurants increased their ad spending by 1.3 percent, according to preliminary figures released this week by The Nielsen Co. QSRs spent $4.07 billion in 2009 vs. $4.01 billion in 2008.
In comparison, ad spend at full service restaurants was down 3.6 percent at $1.56 billion, compared to $1.62 billion in 2008.
Overall, spending fell an estimated $11.6 billion to a total of $117 billion last year. The figures continue a trend of at least six straight quarters of negative growth in the ad industry, but it's a trend that shows evidence of slowing down. In the previous two quarters, Nielsen reported declines of 15.4 percent and 11.5 percent.
"Fourth quarter ad spending was down just 2 percent year-over-year, and that helped soften the full-year decline," said Terrie Brennan, senior VP for new business development at The Nielsen Company. "In fact, most of the top advertisers showed increased spending late in the year. These are encouraging signs for an ad market that's still trying to stop the bleeding."
Ad spend declines are easing up even in print media, which have taken more than their share of lumps over the last few years. National newspapers were down 13.7 percent last year, but it's an improvement from the negative 21.6 percent pace that Nielsen reported through the first three quarters of 2009. Local newspapers finished relatively strong in 2009, cutting its reported 14 percent decline in ad revenue through the third quarter to negative 10.4 percent by year's end.
Spanish-language cable TV (+32.2%) and cable TV (+14.8%) stood out as the top-gaining media in 2009. Free-Standing Insert Coupon (+11.5) was the only other medium to show significant year-over-year growth. Internet (+0.1%) remained essentially flat.
African-American TV (a subset of network, cable, and syndicated) enjoyed a 13.8 percent increase in spending year-over-year. Spanish-language TV (cable and network combined) fell 0.4 percent.
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