Traditional Advert 2013 spending fell in East Africa

Posted on April 19, 2014 03:26 pm

Contrary to what analysts had predicted in 2013, the traditional advertising expenditures last year dropped 10 per cent, according to new data. The main beneficiaries were the mobile advertising market that now accounts for more than a third of advertising spending in East Africa. A media analyst I spoke to yesterday said that the reason was the waning popularity of Television, Radio and Newspapers as well as magazines and dynamic economies in the region that have young and trendy population that prefers to consume information through digital platforms. The media research found that only mobile ads showed growth to $200 million from $150 million while spending on other media like television was even and flat with print media continuing a downward trend. From January March this year, marketers and product owners in East African region spent just $350 million, or 5 per cent of the region’s industry’s value. This was up by almost 4 per cent from previous period last year. Newspaper ads dived 21 per cent while Radio sagged 22 per cent. Ad spending for magazines, outdoor media, transit media and in store followed this trend.

Magazines slumped by 34 per cent, in-store media 11 per cent but the Internet spending rose by 27 per cent. Outdoor media was off slightly by 17 per cent to and transit media by the same percentage. An analyst working in Dar es Salaam Tanzania informed me that cinema and mobile ads were expected to see strong growth in the next five years.  From February-March this year, cinema ad spending recorded a 23 per cent growth because ad agencies and product owners were eager to boost sales in the high season this month of April where Easter period is expected to see an upward spending by consumers. According to a friend working with an ad agency in Kampala Uganda, last month alone, major brands increased their ad budgets for media with mobile expected to take significant share. A Kigali based analyst working with an International research firm predicts that the FIFA World Cup Final in June would drive the electronic media industry as has been the case before for broadcasters which holds and manages the broadcasting rights to soccer extravaganza


Contador Harrison