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Inflation and fewer best ofs cause 10% TV ad spend dip. (News).
A combination of fewer greatest hits packages and marginal TV inflation contributed to a 10% fall in TV advertising spends for the top-selling albums over the Christmas period.
Spending by labels on the top 10 most-heavily-supported albums (see box) was down from 8.35m [pounds sterling] in the closing quarter of 2001 to 7.54m [pounds sterling] in the final three months of 2002. Total spending in the fourth quarter of 2002 fell more sharply, dropping around 12% from 55.95m [pounds sterling] in 2001 to 49.53m [pounds sterling] in 2002.
Tina Digby, director of MediaCom, who compiled the figures exclusively for Music Week, says the downturn is not necessarily part of a trend, because 2001 had a good crop of best of albums which traditionally attract a lot of advertising support. In contrast, last year's top 10 only boasted three best ofs, by Elton John, The Rolling Stones and U2.
"This last quarter has seen more studio albums and TV inflation, which was about 6% through October to December, has also had an effect," says Digby.
Universal product was the best-supported with the EMI Virgin/UMTV Now! 53, which went on to become the best-selling compilation of last year, earning the best advertising backing with 1.19m [pounds sterling] placed behind it. This was well ahead of the 485,000 [pounds sterling] used to support the Now! 51 compilation, in March, which went on to become the second best-selling compilation of 2002.
EMI put 850,000 [pounds sterling] behind Robbie Williams' Escapology, helping it to become the best-selling album of 2002. Mercury spent 825,000 [pounds sterling] to support Elton John's Greatest Hits package.
Significantly, terrestrial station 5 appears to be continuing to attract marketing budgets, at the expense of ITV and Channel 4. Digby says that record company advertisers spent 16% more of their budgets on 5 in 2002. However, she does not believe it is down to the channel's increased music coverage, including last year's new live music programme Pop.
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