©IDG Communications, Inc. Photo contributed by Matthew Mikaelian.
The U.S. and global ad economies are recovering faster than expected, leading two of Madison Avenue’s biggest agency holding companies to significantly upgrade their outlooks for ad spending for the foreseeable future. Publicis’ ZenithOptimedia Group now predicts the U.S. advertising economy will expand 2.2% during 2010, nearly twice the rate of growth that it had projected in its last quarterly tracking report, and Interpublic’s Magna Global unit has upgraded its 2010 U.S. ad growth estimate to 4.1% from a previous estimate of 3.0% in April.
Excluding the effects of incremental ad stimuli from the Olympics and the political ad spending, Magna said U.S. ad spending would rise 2.8% on a “normalized” basis over 2009. Magna’s previous estimate for “normalized” U.S. ad growth in 2010 was 2.1%.