The figures, compiled from research by Nielsen Monitor-Plus, show that a total of $17.3bn (£11.8bn) was spent on advertising in the first quarter of 2002, compared with $17bn for the same period last year. This figure covers eight media, including network television, radio, national cable television, magazines and inserts, but not newspapers or outdoor.
Spending by beer and movie advertisers, among the biggest spenders in the US, increased more than any other sector. Beer makers spent $250m on advertising for the quarter, an increase of 37%, while studios spent $664m enticing audiences into theatres, a rise of 35% on the same period last year. The automotive sector remains by far the biggest spender on advertising at $1.9bn for the quarter, up 10% on last year.
Although the news is good for the advertising industry, Nielsen Monitor-Plus, which published the research based on its ad monitoring, pointed out that the 9.2% upturn in network TV advertising to $5.3bn coincided with the Winter Olympics, held in February. This distorts comparisons with the previous year.
The news comes as US television networks outline their autumn schedules to the media buyers, trying to secure up-front revenues. No doubt media owners will be hoping the rise in spending will mean they can increase rates in what has been a flat market.
Other media to see an increase in spend were radio, up 5%, and national cable television, recording a modest 0.4% increase. The hardest hit sector was coupons, or inserts, which saw revenue fall by 26.8% over the quarter.
Jeff King, managing director of Nielsen Monitor-Plus, said: "Although much of network TV's increases are credited to the 2002 Winter Olympics in Salt Lake City, the first quarter of 2002 shows an overall modest growth for the eight reported media."
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