Investment in advertising by Irish businesses has traditionally lagged behind that of their European counterparts. Currently, however, Ireland has the lowest advertising spend as a percentage of GDP and one of the lowest spend per capita in the EU. The recession in no doubt damaged the Irish advertising market, with a lasting impact that it has never recovered from.
Total Irish advertising spend fell by 40% between 2008-2012. Despite growth across the market being forecasted by many year after year, the reality is that the advertising spend has remained stagnant since the depth of the recession over 8 years ago. And this would be understandable, if the rest of the Irish economy had not bounced back with such a bang, and significantly outperforming other EU countries.
The purpose of this publication is not to determine the reasons why businesses fail to invest in Irish advertising to the extent of other EU ad-markets. These are many, being highly diverse and individual to each business. It is purely to put a spotlight on the differences between spend levels in Irish advertising versus that of other EU countries, noting particularly the current favourable position of the Irish economy. A comparison that is compelling, and highlights the lack of investment in advertising that exists among Irish businesses.
The truth is that there is an opportunity for the businesses that will invest in advertising ahead of the marketplace over the coming years. There is clearly a gap to be exploited, one which can drive penetration, capitalising on a consumer market with relatively strong margins and one that drives healthy returns for businesses.
For more visit www.mediacom.com