According to Publicis Groupe, in the first quarter of this year. The dynamics of the Polish advertising market has been high compared to the same period of the last three years. On the one hand, the growth was higher than the comparable base, which was lower than a year ago, when the covid restrictions were still in force, on the other hand, the irritability in the advertising market was caused by the start of the war in 2012. Ukraine.
– The advertising market was difficult to recover from the crisis caused by the pandemic in 2021, and we have already had to deal with new challenges and adapt to the new norm. In March, some advertisers adopted a wait-and-see strategy, some moved their campaigns for the next few months, while others decided to abandon the campaign altogether. Everyone involved in marketing has carefully chosen the media with which they communicate – describes Iwona Jaśkiewicz-Kundera, Chief Investment Officer of Publicis Groupe.
More than 1 billion PLN for Internet marketing
In terms of quotas, online advertising spending rose the most in the last quarter – from 975 million PLN to 1.063 billion PLN, or 9%. As a result, the share of the Internet in the advertising market increased from 44% to 44.9%.
Expenditures on all major categories of Internet advertising increased: 15% for search engine advertising, 8% for video and 6.8% for the screen. On the other hand, other forms of advertising decreased by 12.5%.
The screen was 49.1 percent. market value, search engine marketing – 29.9 percent, video – 19.6 percent. The share of mobile advertising has increased from 41.1% to 45.9% annually.
Advertising investments in television increased by 0.5%. – from 956 to 960 million PLN. The pharmaceutical industry significantly increased spending (24.5 million PLN, or 11.4%), the trade sector (14.2 million PLN, 8%) and the food sector (17 million PLN, 10.3%).
The share of television in the advertising market decreased from 43.1% to 40.6%.
Outside, 60% higher, radio advertising lower
It is the only channel that communicates with the reduction of advertising costs Radio advertising investment there fell from 162 million PLN to 160 million PLN (less than in the first quarter of 2019). This is due to reduced costs in seven sectors, especially the automotive industry (more than 10 million PLN or 52.3%).
Because of this outdoors increased by almost 60 percent. – From 64 PLN to 101 million PLN, expenditures on traditional carriers increased by 57.1%. (28.1 million PLN). There were 38 percent strong advertisements, especially for companies in the business services and real estate sectors. Expenditures of funds, associations and political institutions decreased.
Advertising expenses in magazines increased by 4.8%. Up to 39 million PLN, mainly due to increased investment by the commercial sector (almost 1 million PLN, 15.2 percent), and they were 31.1 percent. It is lower than the first quarter of 2019. The cost of advertising in daily newspapers increased by 10.4%. Up to 24 million PLN. This was due to the budgets of 2 million PLN (26.6%), of which 1 million PLN increased in the category of foundations, associations and political institutions.
In cinemas, marketers spent 20 million PLN in the last quarter, 5 million PLN less than two years ago. (In the first quarter of last year, cinemas were closed due to the epidemic, and only a few independent cinemas opened in a few weeks).
Trade with a leader in spending less on food and car advertising
The two sectors that spend the most on advertising have increased investment by several percent. The retail industry grew by 14.7 percent. 469.2 million PLN, and pharmaceutical products increased by 17.3 percent. Up to 338.2 million PLN.
For more than 10 years, other sectors (increased by 11.4% to 197.1 million PLN), finance (increased by 11.5% to 157.3 million PLN) and home appliances and furniture industry (increased by 12.7% to 64, 4 mln.). Investments increased mainly in the media industry (44.6% to 138.5 million PLN), clothing and accessories (33.5% to 77.5 million PLN), as well as computers and audio-video equipment (59.2%). Up to 68.3% PLN. million).
On the other hand, expenditures in the food sector decreased by 12.2 percent. It increased by 211.1 million PLN, and in the automotive sector – by 20.1 percent. Up to 121.8 million PLN. – These are two sectors with a particularly bad forecast for the rest of the year – says Ivona Jaśkiewicz-Kundera.
In total, ten sectors increased advertising spending, while six sectors reduced it.
Expected growth of 4.8 percent
– Given the very uncertain conditions in which the Polish economy is currently operating, it is difficult to accurately predict how the market will behave in the coming quarters. At the same time, we see forecasts for the growth rate of the Polish economy from 4.9% to 4.4% in 2022 and from 4.9% to 3% in 2023 – Ivona Jaskiewicz Kundera notes.
He also highlights the impact of high inflation on the media and marketing markets. – We also see price increases in the advertising market – inflationary pressures come from almost all mediaThis, of course, is due to the increase in operating costs of media administrators, he describes.
– We are very careful about the current geopolitical situation and will adjust our forecasts to current events. Nevertheless, the forecast for this year is good, and we forecast that the advertising market will grow by 4.8% in 2022. – Publicis Groupe manager adds.