Citing a report from ZenithOptimedia Group, Media Daily News reported that there has been a dramatic slow down in TV ad spending in America.
The report states that during the 1990s, the average rate of growth was 6.3 percent, while now it is down to only 5.0 percent a year.
While this is an improvement over the earlier part of the decade, last year growth was at only 2.4 percent.
The major contribution to the declining growth is competition. With Cable, Satellite and the Internet getting a bigger piece of the marketing pie, it has put pressures on pricing; which is a major contributor to the decrease in growth.
This is a story and reality that isn't going to go away. Some will be fooled because the Olympic and political years will make it look like there is growth is continuing at a large pace, yet it must be measured against past Olympic and political years to make any sense at all.
By far the fastest-growing medium is the Internet in ad spending; that won't decrease for years to come.
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