Malaysia expects stronger ADEX performance in 2013: Carat report

The report says the combined effects of uncertainty in global macro conditions and mis-prediction of general election timing resulted in many advertisers adopting a wait-and-see attitude, which have contributed to the lower ADEX growth.

Nielsen’s stats show that ADEX growth by medium in 2012 was driven mainly by pay-TV, out-of-home and cinema, outperforming market growth of 6 per cent year on year. However, newspaper including press and magazine lost three percentage points in terms of share of voice.

Among the top television companies, Astro’s ad revenue of TV share in 2012 (48 per cent) exceeds Media Prima’s (44.5 per cent) for the first time.

The stats also show that local government institutions led the ADEX in 2012 in terms of advertising categories, while telecommunication and women’s face care had ADEX cutbacks.

The possible reason is advertisers shifted funds into other areas for better marketing return on investment, according to the report.

The agency said it is expected that the first quarter of 2013 will have strong performance, driven by the anticipated general election. Full-year ADEX for 2013 is expected to grow 7 per cent over 2012 as the industry pins its hopes on (long-overdue) post-election certainties.