Driven by a surge in demand for most electronic media, especially the digital kind, the confidence of advertisers and agency media buyers to increase their advertising budgets has reached its highest point since the Fall of 2006, according to the latest semiannual installment of Perception Group’s Advertiser Optimism Index.
The index, which asks ad executives whether they plan to spend more, less or the same on ad-supported media over the next 12 months, rose five points to a 21 in the fall of 2013.
The index, which reflects the net plus or minus difference between the percentage of ad execs increasing or decreasing their spending plans, has reached its highest point since it crashed to a 7 in the spring of 2007, as the ad industry started to feel the effects of the global economic recession.
“Overall advertiser optimism is trending up after five waves of being relatively flat,” says Perceptions Group Co-Founder Ken Pearl, noting that the index has been hovering in the 16-point range for more than two years since it rebounded from the ad recession, and has suddenly jumped 5 index points.
He singled out mobile, digital and advanced TV as the “most optimistic” media in terms of ad spending increases. He said that within “digital,” social, “video content,” and video ad networks are at their highest levels.
In terms of the differences between advertisers and their agency media buyers, Pearl said, “marketers are more optimistic than their agencies
when it comes to traditional media, namely magazines and broadcast TV.”