Spain's TV advertising market down

Iñaki Ferreras ©RapidTVNews | 03-03-2012

These are tough times for Spain's advertising sector, and TV is one of the most damaged media.
Spanish TV advertising revenues fell 9.5% to 2.2 billion euros ($3 billion) in 2011, compared with 2010, according to a report by Madrid consultancy InfoAdex. The Spanish TV advertising market will plummet about 5% more in 2012, according to an analyst. This will affect TV and film productions.

Spain's total ad market tumbled 6.5% to $15.8 billion in 2011, the lowest result since 2003.
The worst hit broadcasters were Spain's regional pubcasters. Their ad revenues fell almost 30% after some lost flagship slots such as Formula One sportscasts. After anti-trust diktats forbade their advertising to be sold by Spain's big broadcasters, Spain's smaller DTT channels also lost advertising market, such as Unidad Editorial's Veo 7, which fell 48%, meaning a drop of $16.6 million in 2011.
As for Mediaset Espana and Antena 3, Spain's biggest private broadcasting groups, paradoxically both had profits last year of $148.1 million and $125.2 million respectively. But their ad revenues were down, 12% at Mediaset Espana to $1.3 billion. Given the fact both companies are obliged to invest 3% of annual sales into Spain's film production, their revenues are forecast to come down again this year.