The press has been the worst hit as advertising spend is slashed in the credit crunch, with £67.7 million of advertising spend pulled out of the medium year on year, reports Brand Republic.
Media forecasters Zenith Optimedia has drastically changed its forecast for total UK ad spend for the next two years, and has predicted that significant spend will not return until 2010.
The company forecasts that TV and newspapers will suffer more than any other media over the next two years, with newspaper ad spend to fall 7.2 per cent year on year and TV ad spend to fall 8.3 per cent year on year.
Should this be an accurate forecast, it can only mean further cutbacks and jobcuts.
Broadcaster Channel 4 plans to axe 150 jobs in response to the advertising downturn, and newspapers across the board including Telegraph Media Group and Express Newspapers are culling staff.
Adrian Jeakings, the new chief executive of Archant, warned: “It is too early to tell how long the economic downturn will last, but we do not expect things to get any better before the end of 2009.”
Magazine publishers have taken action by slashing subscription prices in a bid to stop consumers cutting out magazines to save the pennies, reports Brand Republic.
Subscriptions to consumer magazines have always been cheap, often with a free hairdryer/poster/handbag thrown in, but as publishers panic that circulations could slide with the economy some amazing offers are being put on the table.
BBC Magazines has slashed 50 per cent off the cover price of a range of titles including Top Gear and BBC Good Food.
The next round of ABCs in February will be crucial for magazines, could be a good indication as to which publications are seen as discretionary purchases within a sector and which are essential purchases.