TV Ad Rates in China to Rise 24% in 2010

Ad Spend in China Reached $54 billion From January to September, According to CTR

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BEIJING ( -- Ad spending in China grew to $54 billion, up 12%, during the first three quarters of 2009, compared to the same period last year, according to CTR Market Research Co.

Advertising growth has outstripped overall economic expansion, reflecting the confidence of marketers emerging from the downturn. The country's gross domestic product increased 7.7%.

Television still dominates China's media industry with a 78% market share, even though media rates have climbed and are likely to grow further next year, when new regulations go into effect from China's State Administration of Radio, Film and Television (SARFT). Starting Jan. 1, 2010, commercial airtime on television in China cannot exceed 12 minutes per hour.

CTR believes TV ad rates in China "will increase at an average [rate] of 24%, given the limitation of TV ad resources," said the company's VP in Beijing, Tian Tao.

Spending on outdoor media was up by 6% during the first nine months of this year, compared to the same period in 2008, when outdoor media spending dropped sharply. Outdoor media buyers were restricted in key markets last year by regulations put in place to protect Olympic sponsors.

The growth of newspaper and radio ad spending has slowed down, while magazine spending actually dropped slightly compared to the same period last year, according to CTR.

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