In the last month of the year, digital media had a slower 3.8% hike, down from 14.1% growth in November. For 2017 as a whole, digital saw a 10% increase versus the year before.
At the same time, national TV’ had worsening declines -- to a 7% drop in the last month of the year from November’s 2% slip. For the fourth quarter, national TV fell 4%.
This was preceded by a 13% drop in the third quarter, largely due to unfavorable comparisons to the Summer Olympics in the same period in 2016. (UBS says all national TV advertising results also include digital TV ad revenues.)
At the same time, for TV, UBS says these results came along with higher scatter pricing for TV networks in both the third quarter and fourth quarter of 2017.
“We believe pricing is driven primarily by supply constraints (versus advertiser demand), with fourth-quarter C3 ratings [Nielsen average commercial minute ratings plus three days of time-shifted viewing] declining for all network groups in our coverage -- with [double-digit percentage] declines at most network groups,” writes Eric Sheridan, media analyst at UBS.
U.S. advertising for 2017 witnessed a 3% increase in the first quarter, followed by another 3% rise in the second. There was a 4% drop in the third quarter (due to the Summer Olympics in the same period in 2016), and a 1% hike in the fourth quarter.
SMI data comes from major national TV media agency systems, representing 80% of U.S. media buying.