2019 was not a good year for ad spend. Although the data from the sources, which will be known in the coming weeks, have not yet been closed, it is believed that the investment did not grow, or even decreased slightly.Among the causes of this sluggishness in the sector are: the political and economic uncertainty that was experienced throughout the year and the effects of the progressive digitization of advertising that, for the moment, entails a reduction in investment.Digitization implies heavy investments in technology that, in part, reduces investment in media itself. On the other hand, mass advertising is replaced by another aimed at specific people, in search of an immediate reaction. Only a small part of the investment that is withdrawn from traditional media reaches its digital versions.In recent months, uncertainty has reduced somewhat: there is already a government supported by Parliament, which has begun to make decisions; no new electoral calls are expected at the state level for the moment; the exact date of “Brexit” and the tough conditions under which it will take place are known; The United States’ tariff conflicts have been reduced, mainly, but not only, with China. This could lead advertisers to anticipate their investment decisions, which they have delayed in recent years pending greater visibility of the situation.Uncertainty is not good for the economy and it is not good for advertisingIf these forecasts are met, the relative weight of advertising in GDP will decline again this year.As has become customary in recent years, the greatest growth in investment will occur in Digital media.
This year Digital will be the Spain Phone Number List medium that receives the greatest investments, surpassing Generalist Television. This, together with the Printed Media, will lose investment again this year.The two dominant groups in General Television have been forced to change their commercial policies, as a result of the CNMC ruling in November. It is still too early to know how these changes influence, although the majority opinion is that they will especially benefit the large technology platforms, which largely concentrate investment in digital advertising.The perception indices remain negative, but improve significantly in the last two waves of the study, those carried out since September.The IPSE (Index of Perception of the Economic Situation) improves more than 12 points and now stands at -40.9. The IPMP (Advertising Market Perception Index) also improves, in this case more than 14 points, to stand at -52.3.
In both cases they are very low values, but after two waves of improvement they could indicate that there has been a change in trend.The phenomenon of OTTs, which in general do not compete for advertising investment, but for the attention of viewers, could be leading to a 5% drop in investment in Television.The highest growth in investment will occur in Digital (Internet and Mobile: 8.5%); Important growth is also expected for Digital Outdoor Advertising (PED: + 5.8%); Pay TV channels (+ 3.6%); Cinema (+ 3.2%); Exterior (+ 2.4%) and Radio (+ 2.0%).On the other hand, as we have already advanced, a reduction in investment in Print Media and General Television is expected. The expected falls are: General Television (-3.9%); Daily (-6.9%); Supplements (-8.2%) and Magazines (-8.4%).
The panelists expect that the advertising sector that increases its investment the most will be the Telephony, Telecommunications and Internet, driven by the launch of 5G technology and by the growing competition between digital content platforms.There are serious doubts about the behavior of the Automobile and Banking and Finance sectors.The behavior of the new Administration is expected with expectation since, due to its situation, it seems that it should be forced to a strong communication policy.Forecasts by media Investment forecasts by means can be seen in the following table. They are compared with the forecasts made in November for this year 2020. The fourth column represents the direction of the variation. A