Canadian Ad Spend Across All Media Signals Strong Growth to 2011: CMA



    TORONTO, Nov. 12 /CNW/ - Canadian marketers are bullish about their
investment in the Canadian economy over the next five years.
    According to new research from the Canadian Marketing Association (CMA),
advertising spending in Canadian media will increase from $19 billion in 2007
to more than $23.3 billion in 2011. Moreover, every dollar spent on
advertising will directly result in nearly $9 of economic activity in Canada,
with overall direct sales from advertising campaigns expected to reach
$203 billion by 2011, a 33 per cent increase from today's levels.
    Digital media is expected to lead all other marketing channels in 2011 in
terms of direct sales, with purchases resulting from marketing offers received
over the Internet and through commercial e-mail forecast to top $46.6 billion
by 2011. By 2011, Canadian business will spend more than $3.3 billion on
digital media in Canada, more than double the $1.4 billion recorded in 2007.

    
    In other highlights from the CMA report:

    -   Advertising expenditure in Canada is forecast to expand at a compound
        annual growth rate of 5.3% over the 2007-2011 period.

    -   A large percentage of the ad spend in Canada will continue to be
        allocated to traditional media. Solid overall growth continues in all
        traditional media categories with television, direct mail and out-of-
        home experiencing the most rapid growth.

    -   Jobs directly linked to Canada's marketing sector are expected to
        grow by 6.8% annually over the next five years to 1.2 million in 2011
        from 940,000 in 2007. Employment gains will be strongest in digital
        media with close to 200,000 jobs by 2011, compared to nearly 75,000
        in 2007.

    -   In 2011, almost $31 billion in goods and services will be purchased
        as the result of marketing offers over the telephone compared to
        $27 billion in 2007. More than half (53%) of the sales will originate
        as the result of business-to-business telemarketing calls.
    

    "This report demonstrates the substantial and growing contribution that
marketing makes to the economy both in terms of its financial investment and
for its role in generating employment," noted CMA's Wally Hill,
Vice-President, Public Affairs and Communications. "Moreover, the report
points to the vitality of an industry that is exploring and introducing new
concepts and new media to most effectively reach consumers of their products
and services."
    Conducted by Global Insight, a world-class leader in economic and
demographic forecasting, the Canadian Marketing Association report
"Marketing's Contribution to the Canadian Economy" includes ad spending
impacts for more than 25 industries. Included are estimates to aid in
marketing planning, the allocation of marketing dollars and the return on
investment from specific media channels. Funding support was provided by
Canada Post.

    About the Canadian Marketing Association

    With more than 800 corporate members, the Canadian Marketing Association
(CMA) is the largest marketing association embracing Canada's major business
sectors and all marketing disciplines, channels and technologies. CMA is the
marketing community's leading advocate on the key public policy issues
affecting both consumer and business-to-business marketers. As well, the
Association is the principal provider of knowledge, marketing intelligence and
professional development opportunities for marketers; and catalyst for
networking and business opportunities within the marketing community.

    About Global Insight

    Recognized as one of the most consistently accurate forecasting companies
in the world, Global Insight has over 3,800 clients in industry, finance, and
government in 13 countries, including Canada, the U.S., Europe, Africa, Middle
East and Asia.





For further information:

For further information: Ed Cartwright, Senior Director, Communications,
CMA, Tel: (416) 644-3760, e-mail: ecartwright@the-cma.org, 1 Concorde Gate,
Suite 607, Don Mills, Ontario M3C 3N6 Tel: (416) 391-2362, Fax: (416)
441-4062, www.the-cma.org


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