THAILAND - Even though the advertising industry is facing headwinds from the domestic political and economic vagaries, Mindshare Thailand is still optimistic that business would plough ahead 4-6 per cent on favourable factors like the high usage of mobile Internet and the introduction of digital terrestrial TV.
"The slowdown is an opportunity and a great challenge to continue on driving brands and business. Advertising is part of the solution and not the problem, if done in what we believe in…thinking adaptive, and being adaptive to the opportunities and challenges around us," managing director Pathamawan Sathaporn said yesterday.
Smartphone penetration in the country has zoomed following the rollout of third-generation wireless broadband services throughout the country, while on Friday, 24 broadcasters will launch their digital terrestrial TV channels via satellite TV platforms that will reach about 70 per cent of all 22 million households immediately.
The company expects that digital terrestrial TV will attract 10 per cent of the audience this year. That share is worth Bt7.69 billion.
Ad spending via TV is expected to increase 7.4 per cent to Bt87.04 billion this year. Ad spending via analog free TV will see a drop of 4 per cent to Bt66.08 billion, while ad spending via cable/satellite TV will decline by 3.5 per cent to Bt10.36 billion.
However, ad spending via True Visions' platform is expected to run counter to the trend with 106-per-cent growth to Bt2.9 billion.
These transformations to digital TV and the changes in consumer lifestyles have clearly led to a multi-screen behaviour.
New opportunities will open for marketers and brand builders to build brands during the economic slowdown and to pursue multi-screen strategies to handle consumers' changing demands and lifestyles.
"The key challenge for marketers today is how to integrate communication between devices and measure cross-platform audience ratings. Marketers must also focus on building owned and earned media, not only paid media," he added.
Although Nielsen (Thailand) recently reported that first-quarter ad expenditures fell 6 per cent to Bt24.68 billion from Bt26.48 billion in the same quarter last year, Mindshare believes that ad spending in that period was still rising if digital media and cable/sat TV were included.
So the industry came up with a 1.8-per-cent improvement last quarter.