TV accounts for bulk of ad expenditures – Kantar

MANILA, Philippines - Television (TV) accounted for the bulk of the advertising expenditures in the country last year, but potential is also seen in the online space, information and consultancy firm Kantar Media said.

Kantar Media general manager Gabriel Buluran said in a briefing for the results of the firm’s Advertising Expenditure Report 2013 yesterday, advertisers in the country spent approximately P340 billion for ads across TV, radio and print last year.

Amid TV’s wide reach, it dominated total advertising spending with its 78 percent share amounting to P264.34 billion.

“Practically every home in the urban area would have a TV set,” Buluran said, noting that TV penetration in the cities is at 92 percent.

Meanwhile, 70 percent of rural households own at least one TV set.

Radio had the second biggest share in total advertising spending last year with its 18 percent share amounting to P62.78 billion, while print got P12.24 billion worth of advertisements or a four percent share.

Buluran noted that 83 percent of urban homes and 69 percent of rural homes have at least one radio unit.

For print, he said 50 percent of Filipinos would have read at least one publication over the past 12 months.

“It’s a good number because at least 50 percent was able to read it, but if that’s over 365 days, people who read yesterday is only at 15 percent for newspapers. That’s sad, but at the same time there’s potential there because there’s a lot of room to grow,” he said.

By product category, the report found that detergents and laundry aids spent the most on advertisements on TV, followed by hair shampoo and milk powder.

On radio, corporate advertising had the biggest expenditure for advertisements, while herbal supplements and wireless telephony came in second and third, respectively.

As for print, auto vehicles and car dealers had the most ad placements, followed by real estate companies and entertainment events such as concerts.

By company, the report showed that Unilever Philippines, Inc. was the top advertiser of the year, having spent over P48 billion on TV advertisements last year.

Buluran noted that the company was consistently the top spender in all channels and timeslots.

Procter and Gamble Philippines, Inc. placed second having spent over P33 billion on TV advertisements, while Colgate-Palmolive Philippines, Inc. came in third with P15.7 billion.

In terms of brands, the report showed Palmolive Shampoo with Conditioner topped the list of those which had advertisements on TV, having spent almost P6 billion last year.

This was followed by Colgate Toothpaste which had P4.7 billion worth of TV advertisements and Surf Detergent Powder which spent P4.5 billion.

While TV dominated ad spending last year, Buluran said there is potential in the Internet which provides easier access of ads to more people.

“We are still in the early stage of digital,” he said.

He said the firm intends to measure advertisements placed on the Internet for this year’s report.

Kantar Media provides TV audience measurement to more than three million brands from 22,000 clients in 50 countries around the world.

In the Philippines, Kantar Media is used by leading broadcast TV networks, advertising agencies and media planners for market research, TV audience measurement and news monitoring.