TV Advertising Gets Healthy Prognosis

LOS ANGELES - Reversing a two-year trend in which ad expenditures lagged behind consumer spending, advertising outpaced end-user spending in 2003, said a PriceWaterhouseCoopers study, "Global Entertainment and Media Outlook: 2004-08."

Advertising worldwide grew at a 4.8 percent pace, compared to spending's 4.1 percent last year. "This is particularly impressive because the even years tend to spike because of regular events such as elections, Olympics and World Cup matches," said Pete Winkler, managing director of entertainment and media practice, PWC, New York. "We project television advertising to be quite healthy for the next five years."

Winkler said the industry is "still in the early days of advergaming," but that game ad sales should enjoy at 20 percent CAGR. "That will be driven by broadband and mobile technology," he said. "We see online gaming growing much faster than console gaming, even with console gaming growing at a 6.8 percent CAGR."

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