Media Overview
Online holiday sales declined this season for the first time in many
years. The economy has reigned in growth rates of 20% annually, rarely
sustainable in any industry for a prolonged period of time.
Advertising revenue is falling in many markets, with corporate budgets
experiencing relative tightening. Television production budgets on
several of the leading weekly prime time series have experienced
mandated contraction, at the level of approximately 2%.
Publishing
The Publishing Industry, dealing with the online competitive threat for
some time now, has seen a decline in print advertising revenues as a
result of the current economic atmosphere. Increasing utilization of
online information delivery and advertising continues as an expanding
standard of practice within the present competitive landscape.
Cable and Satellite
The Cable and Satellite sector continues to experience increasing competition with a general oversupply of networks. The average household receives 90 channels, while the average consumer watches 14 - 15 of those.
The advertising downturn in 2009 is projected to continue to affect internet advertising, with large scale local station buying remaining a logistical challenge. Bundling of national network advertising provides minimal incremental costs in the purchase of whole networks vs. leading market packages. Overall volume of cable network advertising has declined relative to the networks. Automobile Industry sales declines have and will continue to affect advertising presence in 2009.