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TV ad volume grows 111%

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Arindam Majumder Kolkata
Last Updated : Oct 28 2015 | 12:58 AM IST
Advertisement volume on television grew 111 per cent in July-September 2015 from the same period a year ago driven by the fast-moving consumer goods (FMCG) sector.

Print advertisement, in contrast, grew two per cent cent in volume during the quarter, according to TAM Media Research.

FMCG firms emerged the top spenders in the electronic medium. Personal care with a 20 per cent share was the top sector followed by food and beverages and services with 19 per cent and 12 per cent, respectively, according to the analysis by AdEx India, a TAM Media division.

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With consumer demand yet to revive and rural spending remaining low, FMCG companies had to spend heavily on advertisement.

"As raw materials prices stay low, the scenario is expected to remain the same in the coming quarter," said Pinaki Ranjan Mishra, partner and national leader, retail and consumer products, EY. Hindustan Unilever has said its advertising and promotion costs in the first six months of the year were Rs 1,145 crore, up from Rs 925 crore in the same period last year.

Indian advertising is valued at around Rs 32,000 crore, of which the television segment accounts for a significant amount.

"Spot rates were maintained to encourage advertising flow because sectors that are big media spenders such as FMCG, automobiles and telecom have seen a moderation in their growth," said an executive with a media management company.

Abneesh Roy, associate director, Edelweiss Securities, noted in a research report that advertising growth would continue to be robust because of the FMCG sector.

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First Published: Oct 28 2015 | 12:40 AM IST

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