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Euro 2012 will shore up European ad revenues

European net TV advertising revenues will increase by 5.4% in 2012 to US$40.7 billion (€32.4 billion), according to new research from Informa Telecoms & Media. The uplift follows a 3% increase in TV advertising revenues in 2011 and one of 9.9% in 2010.

The big increase in 2010 was boosted by improving consumer and corporate confidence along with that summer’s World Cup finals in South Africa. The 2012 increase is also being driven by the Euro 2012 soccer tournament in Poland and the Ukraine, which starts today.

“While economic growth for Europe looks likely to be flat in 2012, our research has found that most European broadcasters expect to post some strong 2Q and 3Q advertising numbers due to the Euros and then the Olympics,” said Adam Thomas, Informa’s media research manager. “A drop-off is expected in 4Q12 but the mid-year boost will be sufficient to ensure that TV advertising comfortably outperforms GDP growth.”

Revenues from countries in Western Europe will account for US$30.1 billion of the total and those from Eastern Europe US$10.6 billion.

The Informa figures are for net advertising after agency commissions, production costs and discounts have been taken into account.

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