TV ad volumes highest in 2 years: report2 min read . Updated: 22 Jul 2021, 03:03 PM IST
- With a 6% growth in ad volumes over June 2019, a total of 1,839 advertisers and 3,074 brands advertised on television in June this year
New Delhi: With the economy showing steady signs of recovery, companies across categories have started spending on television advertising, according to data from TV monitoring agency Broadcast Audience Research Council (Barc) India.
Barc India’s latest report titled ‘TV Ad Volumes Insights - The Mid-Year Analysis’ stated that ad volume registered in June 2021 is the highest when compared to the same period for 2019 and 2020 despite the impact of the second wave of covid-19. With a 6% growth in ad volumes over June 2019, a total of 1,839 advertisers and 3,074 brands advertised on television in June this year.
The first half of the year (H1 2021) between January and June too witnessed higher growth with a 12% and 37% increase in ad volumes when compared to 2019 and 2020 respectively.
Ashish Bhasin, CEO APAC of Dentsu International said that advertising seems to be coming back, though last year wasn’t a good one for the industry.
“I don’t think there is any V-shaped recovery happening but every month is looking better than the previous one. May, for instance, was down because of the second wave after that June improved on May, and July is improving on June. In India, advertising is also sentiment-driven so when sentiment is positive advertisers tend to be buoyant," he added.
After a dip in June 2020, the automobile sector made a strong comeback in June 2021 by registering a growth of 74%. The ad blitz corresponds to auto sales spike as restrictions ease across states and more consumers rely on personal vehicles for commute. With 3.94 million seconds in June 2021, the auto sector is on par with the ad volumes it registered in June 2019. The sector also achieved 128% month-on-month growth over May 2021.
Likewise, ad volumes for the telecom sector almost doubled in June 2021 over May 2021 and have registered 2X growth in June 2021 over June 2019.
As more people prefer ordering online over venturing out for their shopping needs, e-commerce category also invested heavily in television advertising. With 15.4 million seconds in June 2021 alone, ad volumes for the e-commerce sector have registered a whopping growth of 56% when compared to June 2019. Currently at all-time high, the category constitutes a 12% share in the total ad volume pie.
Fast moving consumer goods (FMCG) category continued to lead the share in H1 2021 with a total of 566 million seconds, a growth of 40% over H1 2019. Ad volumes for banking, financial services and insurance (BFSI) sector grew by 7% over H1 2019 with 14.5 million seconds in H1 2021.
“There is a sharp increase in ad volumes from the top three advertisers and while FMCG continues to dominate by share, e-commerce category continues to see strong growth year-on-year. The auto sector has also made a comeback despite the impact of the second wave. Data for the first half of 2021 reinstates that while new advertisers have turned to television for widespread reach, existing ones continue to increase their attention to the medium," said Aaditya Pathak, head – client partnership & revenue function, Barc India.
Dentsu’s Bhasin is hopeful that the uptake in advertising would continue. “Almost 40% of advertising spends happen every year between Ganpati and New Year’s. So if the monsoons are good, rural economy is good then by the time festive season approaches we should be in a good position. We should end up with a 10-12% ad spend growth," he noted.
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