MxMIndia

Tag: Zenith

  • No Indian media company in Zenith's Top 30, but Google & Facebook now control 20% of global adspend

    Google, Facebook top media owners

     

    By A Correspondent

     

    Google and Facebook together accounted for 20% of global advertising expenditure across all media in 2016, up from 11% in 2012, according to the new edition of Zenith’s Top Thirty Global Media Owners, published today (May 8).These two companies captured 64% of all the growth in global adspend between 2012 and 2016.

     

    The Top Thirty Global Media Owners report is Zenith’s ranking of the world’s largest media companies, and has been published since 2007. For this edition there’s an updated methodology and focus purely on media owners’ revenues from advertising, excluding revenues from all other activities, which gives the true measure of their status in the global advertising market.

     

    Google (under its holding company Alphabet) is by some distance the largest media owner in the world, attracting US$79.4bn in ad revenue in 2016, three times more than the second-largest – Facebook – which attracted US$26.9bn. The largest traditional media owner is Comcast, which takes third place in our ranking, with US$12.9bn in ad revenue.

     

    As stated in Zenith’s quarterly Advertising Expenditure Forecasts, internet advertising has overtaken television to become the world’s largest advertising medium this year. Accordingly, digital platforms that are funded by internet advertising dominate the top 30 ranking. As well as Alphabet and Facebook, there are five more pure-internet media owners in the top 30: Baidu, Microsoft, Yahoo, Verizon and Twitter. Between them, the seven digital platforms generated US$132.8bn in internet ad revenue in 2016 – that’s 73% of all internet adspend, and 24% of global adspend across all media.

     

    Verizon became a media owner in 2015 when it bought AOL, and if all goes to plan will become a much larger one when it acquires Yahoo later this year. Verizon takes 21st place in the current ranking; adding Yahoo to AOL would boost it to sixth.

     

    The fastest-growing media owner in Zenith’s list is Twitter, which increased its ad revenues by 734% between 2012 and 2016. Tencent is second, having grown by 697% over this period, and Facebook is third, with 528% growth. Two other media owners have more than doubled in size between 2012 and 2016: Baidu, which grew 190%, and Sinclair Broadcasting Group, which grew 171%.

     

    Most of the media owners in the ranking – 20 out of 30 – are based in the US. The US dominates for several reasons: the US has the biggest ad market, US companies have invested the most in extending their reach abroad, and Silicon Valley innovation has powered the growth of internet advertising. China and Germany each have three media owners in the ranking (Baidu, Tencent and CCTV for China, and Bertelsmann, ProSiebenSat.1 and Axel Springer for Germany). Then there are four countries with one media owners each: France (JCDecaux), Brazil (GrupoGlobo), Italy (Mediaset) and the UK (ITV).

     

    “The scale of the biggest platforms highlights the importance of building strong partnerships between agencies and media owners,” said Vittorio Bonori, Zenith’s Global Brand President. “Brands need to deal with these platforms to communicate with consumers effectively and efficiently, and agencies need to ensure they do so on the best terms available.”

     

    “Zenith’s new ranking demonstrates just how much the internet advertising platforms are setting the pace for global adspend growth,” said Jonathan Barnard, Head of Forecasting at Zenith. “Google and Facebook alone have accounted for almost two thirds of global adspend growth since 2012.”

     

    Ranking of Top 30 Global Media Owners 2017

    Rank Media owner Rank Media owner
    1 Alphabet 16 Advance Publications
    2 Facebook 17 JCDecaux
    3 Comcast 18 News Corporation
    4 Baidu 19 GrupoGlobo
    5 The Walt Disney Company 20 CCTV
    6 21st Century Fox 21 Verizon
    7 CBS Corporation 22 Mediaset
    8 iHeartMedia Inc. 23 Discovery Communications
    9 Microsoft 24 TEGNA
    10 Bertelsmann 25 ITV
    11 Viacom 26 ProSiebenSat.1 Group
    12 Time Warner 27 Sinclair Broadcasting Group
    13 Yahoo 28 Axel Springer
    14 Tencent 29 Scripps Networks Interactive
    15 Hearst 30 Twitter

     

    Advertising Revenues in US$ million
    Share of Global Advertising Expenditure (%)
  • Unique innovation carried out for Maggi

    Zenith turns Google search into voting engine

    By A Correspondent

     

    In a first-of-its kind creative association, the Google search results page for “Meri Maggi” was transformed into an innovative branding medium – one that registers live votes from consumers ahead of product launch. Zenith, part of Publicis Media India, conceived this campaign for Maggi and brought it alive in a unique creative association with Google.

     

    A search for ‘Meri Maggi’ on Google displays eight potential new flavours for users. The new product-line comes with names that are intrinsically Indian;  AmritsariAchari, Bengali Jhaal, Gujarati Khaman, Kashmiri Dum, Kochi Malabari, Mumbai Chatak to name a few. Of these, the user has to accurately guess the four flavours that Maggi will end up launching. Users could vote every day till midnight on Friday, April 21. Post voting, the user was diverted to the Paytm Maggi page for registration https://paytm.com/maggi and could avail a Maggi Goodie bag.

     

    Said Tanmay Mohanty, Group CEO, Zenith India: “Zenith develops brand experiences that maximise the value of the opportunity and builds rewarding relationships with valuable customers. This is an innovative campaign in which search has been transformed into a unique ‘Voting Engine’ and this initiative only harnesses the passion of Maggi loyalists. The preview on the new flavours adds to the buzz and anticipation among Indian consumers. Over the past 33 years, Maggi has become one of the most trusted brands in India. It has done this by keeping up with the changing Indian palette. ‘Maggi Masalas of India’ is a step in the same direction and we are pleased to engage with them on the same.”

     

  • Bombay Dyeing is part of the Wadia Group of Companies established in 1879 and are among the oldest and most respected business houses across the country

    Zenith wins Bombay Dyeing media account

    By A Correspondent

     

    Leading media agency Zenith has bagged the full range of media duties, inclusive of digital and social of Bombay Dyeing, one of India’s largest brand in home furnishing. Said Tanmay Mohanty, Group CEO, Zenith: “Bombay Dyeing needs no introduction. It is more than a century-old brand and one that has stood the test of time and successfully maintained the lead. They have experimented and innovated and stayed ahead of the curve. It is a great opportunity for us to put forward our strategic thinking, integrated solutions and drive on ROI for Bombay Dyeing’s investments. India’s retail

     

    Added Michael Nadar, Head of Marketing at Bombay Dyeing: “We were looking for an agency that scores on both ambition and agility. An agency that gives quick turnaround and can pre-empt the changes ahead. Zenith understands the pulse of Indian consumers. Their passion for the job, innovative thinking and strong play in consumer insights, digital, technology, content and analytics makes them the right partner for us. We look forward to a long and fulfilling partnership with them.”

     

     

  • Micromax's media mandate will be handled by Zenith and the digital mandate by Isobar's Delhi office

    Micromax mandates Zenith & Isobar for media & digital

    By A Correspondent

     

    Micromax Informatics Ltd. has appointed Isobar as the digital marketing agency and retained Zenith as its media buying agency after going through a multi-agency pitch process.

     

    Entering a new phase, Micromax’s focus is going to be on providing solutions to the consumers using their phones. Therefore, one of the key focus area for the brand has been to build a strong connect with its audiences by bringing alive brand experiences across multiple touchpoints, backed by innovative product line up and hence both the agencies – Zenith and Isobar and ZenithOptimedia will help Micromax take this journey ahead.

     

    Micromax will be handled out of Isobar’s Delhi office and will focus on growing and sustaining the brand’s online presence in addition to supporting Micromax’s ongoing and future campaigns.  Zenith will now focus more on measuring performance and returns on investment to tap the target audience of Micromax in its new journey.

     

    Talking about the association, Shubhajit Sen, Chief Marketing Officer, Micromax Informatics said, “We are delighted that post the pitch process we have two of the most competitive agencies on board with Micromax. While Isobar will lead our digital mandate and we are impressed with their team of young, intuitive professionals bringing in a fresh perspective, Zenith will continue to be our agency to manage traditional media. We would also want to place on record our appreciation for Interactive Avenues (IA) and their team -they helped build Micromax brand with some real great work.”

     

    Tanmay Mohanty

    On being contacted, Tanmay Mohanty, Group CEO, Zenith expressed his delight on retaining the Micromax business and said, “We share a wonderful working relationship with Micromax. The client was impressed with our fresh approach on the Micromax brand, and the innovative thinking and rich consumer insights that we bring to the table. Going forward, we will continue to put in the best of our resources, people, tools and processes behind the Micromax brand.”

     

  • Telenor India is part of Telenor Group and connects with over 53 million Indians

    Zenith adds Telenor to the Roster

    By A Correspondent

     

    Media agency Zenith has won the digital mandate of Telenor India, one of the world’s largest mobile operators with over 203 million mobile subscriptions. Telenor India is part of Telenor Group and connects with over 53 million Indians.

     

    Telenor’s exposure to global best practices, along with expertise in local markets has made them a leading player in the telecommunications industry. Since commencing operations in 2009, they have consistently been acknowledged for best in class network.

     

    Tanmay Mohanty

    Tanmay Mohanty, Group CEO, Zenith, said that the Telenor digital mandate opened up a range of exciting possibilities.

     

    Mohanty stated, “It gives us great pleasure to associate with Telenor India, which is a rising ambitious telecom brand in a sector poised for exponential growth.  The right digital strategy and execution can make all the difference in this highly competitive category. The telecom market is expected to witness some very exciting times ahead, with government led initiatives such as Digital India, Smart City Project, Make in India and payments banks, giving this sector the added fillip.  Telenor’s dynamism and innovative approach makes them a wonderful brand to partner with.”

     

    Upanga Dutta, Chief Marketing Officer, Telenor India “Zenith is capable, competent and competitive. We were looking for a media partner that has breakthrough digital marketing solutions, and backs them up with rich insights. Zenith has very strong presence in technology, analytics, tools and techniques and they are a passionate and driven team. They have a great understanding of the mobile ecosystem and bring with them with years of experience and industry knowledge.  Their credentials and volume of work say it all. We look forward to them scripting our growth story in 2016.”

     

  • That’s for India, but globally the luxury adspends are growing 3% in 2016 as per Zenith

    India luxe adspends grow @30%: Zenith

     

    By A Correspondent

     

    Anupriya Acharya

    The country is witnessing a wave of investment, positive sentiment and an increase in the sheer number of High Net Worth Individuals (HNWI). The luxury market in India has been growing at a CAGR of 25% over the last couple of years, says Publicis Media India CEO Anupriya Acharya.  Adspends in India are said to be growing at 30% in the luxury sector.

     

    Acharya spoke as Publicis Media agency Zenith’s new Luxury Advertising Expenditure Forecasts reports expenditure on luxury advertising will rise by 3.0% in 2016,up from 1.9% in 2015. This acceleration will be driven by recovery in Asia and Eastern Europe after a tough year in 2015. Luxury advertisers will spend a total of US$10.9bn across the Top 18 markets in 2016, up from US$10.6bn in 2015.

     

    This is the second annual edition of the Luxury Advertising Expenditure Forecasts,which examines expenditure on luxury advertising in 18 key luxury markets. The 18 markets are China, Colombia, France, Germany, Hong Kong, Italy, Malaysia, Mexico, the Netherlands, Peru, Russia, Singapore, South Africa, South Korea, Spain, Taiwan, the United Kingdom and the United States of America. Yes, it doesn’t include India.

     

    As with Zenith’s Advertising Expenditure Forecasts, this report provides historic expenditure figures and forecasts by medium. However, the study focuses specifically on luxury advertising, together with the sub-categories of luxury automotive, fragrances & beauty, fashion & accessories, and watches & jewellery.

     

    The luxury advertising market slowed from 2.9% growth in 2014 to 1.9% growth in 2015 as advertisers reacted to slowdown in the BRIC markets as well as to local conflicts and terrorism. Adspend shrank by 1.4% in Asia and by a massive 20.3% in Eastern Europe (mainly the result of the oil crisis and rouble devaluation in Russia), but the global total was buoyed by strong growth in North America (3.6%) and Western Europe (4.7%).

     

    Specifically on India, Acharya adds: “Currently, it is estimated to be in the region of $14.7 bn and estimated to soon cross 18.3 $ bn. Fragrances, watches and jewellery are top sellers in the luxury market, followed by skincare, apparel and fine dining. Consumers today aspire for value, even if it means paying a premium for it.”  The Delhi NCR market accounts for the highest SEC A market, followed by Mumbai, Bengaluru and Chennai.  Non-metro cities such as Ahmedabad and Chandigarh are also growing in terms of income and propensity to buy luxury goods.

     

    Zenith forecasts Asia to return to 2.9% growth in 2016, while the decline in Eastern Europe slows to 2.8%. North America will stay strong, with 3.9% growth, but Western Europe will slip back to 1.7%. Overall ZO forecasts 3.0% growth in luxury adspend across our top 18 markets in 2016.

     

    Luxury advertising is growing less rapidly than advertising as a whole. Notes the report: “Across our top 18 markets, luxury advertising grew by 2.9% in 2014, compared to 5.6% for advertising as a whole, and 1.9% in 2015 (compared to 4.1%). We forecast this underperformance to continue, with luxury advertising growing 3.0% in 2016 compared to 4.5% growth across all categories. “

     

    The USA and China are driving growth in luxury advertising: Between 2015 and 2017, ZO forecasts luxury advertising to grow by US$705m. 82% of this growth will come from the US (US$347m) and China (US$228m). The US and China are the largest and second-largest luxury ad markets respectively, accounting for 45% and 21% of luxury adspend in 2015. Germany is third, followed by France and the UK. “We expect to see very little growth from France, which is suffering from persistent unemployment, low confidence and low economic growth,” the report adds. Zenith forecasts the UK to overtake France to become the fourth-largest luxury ad market this year.

     

    Digital will be the largest luxury advertising medium in 2017: Digital advertising is by far the biggest contributor to the growth in luxury advertising, growing consistently at double-digit rates. ZO expects digital media adspend by luxury advertisers to increase by US$837m between 2015 and 2017. Over this period, television, radio and cinema will increase by a total of US$26m between them; outdoor will shrink by US$10m; and print will shrink by U$150m.

     

    By 2017, print will account for 28.6% of total luxury adspend, down from 31.9% in 2015. TV’s market-share will also decline over the same period, from 32.7% in 2015 to 30.7% in 2017. Digital’s market-share will increase from 26.3% in 2015 to 32.1% in 2017, when it will overtake TV and print to become the single largest medium for luxury advertising.

     

    Print rules for ‘high luxury’ advertisers: Despite its decline in marketshare, print remains particularly important to luxury advertisers, specifically those in the fashion and accessories and watches and jewellery sub-categories. In 2015, fashion and accessories advertisers spent 83% of their budgets in print, and watches and jewellery advertisers spent 60%. Print titles –especially glossy magazines – provide high-quality, immersive yet relaxed reading experiences, a particularly suitable environment for luxury advertisers wishing to showcase their brand values.