The Australian advertising market is predicted to contract this year after media agency MagnaGlobal revised its figures downward based on first quarter trends. The market intelligence and research division of Media Brands predicts spending on traditional media will continue to contract, with the internet the only media posting any significant growth. Overall, MagnaGlobal predicts spending will contract by 1.3%. Magazines are expected to be the hardest hit sector, down by 10.5% compared to initial forecasts of a contraction of just 3.5%. Newspapers are expected to see a slip in advertising of 9.5%. Internet advertising was expected to lift by 19.5%, up on previous predictions, while digital out of home advertising was expected to grow by 17.3%.