Ad Spending has Gone Up, But Internet Marketing Remains Low

Ad spending in Malaysia in the year 2009 of RM6.6billion (USD1.94bil) is better than 2008 by 7% according to AC Nielsen? That's rather surprising considering ad spending in more developed countries expected to fall in the same time period. Ad spend in America is estimated to fall as much as 14.5% according several resources.

Newspaper, the ad spend leader has managed to still chart a growth of 2.6% albeit commanding a giant 51.6% cost of total ad spend.

In addition to that, Internet spending is not the main driver to this, it's radio. internet spending just consist of 0.6% of the total ad spend. Radio commands 5.5% of the ad spend pie and grew by 24.2%, faster than internet's 21.6%, which is the second fastest. For its low base, it's very surprising marketers adoption of the internet as a source of cheap and targeted communication is not taken as well as it should in this part of the world. In the US, internet consists of 7.6% in 2007 of total ad spend. The reason is not hard to find, the adoption rate of Malaysia's broadband has not reach satisfactory rate as we hope, not to mention the frustration 90% of internet users here of the broadband speeds they experience compares to what they are offered.

All in all, companies in Malaysia seems to dust themselves up fast from the economic mess and able to rebound fast in hounding the people with their intended messages.