The biggest TV stations saw an 11 percent fall in ad revenue Shutterstock

According to data released by media house Starlink, last year companies in Poland spent zł.7.09 billion on advertising, down by 5.2 percent compared to 2011.

Starlink experts attribute the decline to the ongoing crisis in the FMCG (fast-moving consumer goods), a slowdown in the pharmaceutical and financial markets, and changes in the media world.

“On the one hand we are observing a smaller demand for advertising, which derives from the uncertain economic situation in leading sectors of the economy,” said Lidia Kacprzycka, managing director at Starlink. “On the other hand, however, we have changes in the media market, where digitalization is bringing down viewership of nationwide TV stations. Smaller and lower-cost stations as well as theme channels are gaining, though.”

In 2012 only internet and cinema advertising managed to maintain healthy growth rates, up 8.7 percent y/y and 11.2 percent y/y respectively.

The TV advertising market as a whole shrank by 5.6 percent, with with the four biggest broadcasters (TVN, Polsat, TVP1 and TVP2) bearing the brunt of the decline, recording an 11 percent fall in ad revenues.

Theme channels, however, recorded a 12.8 percent increase in advertising revenues.

Dagmara Robak from media house Mindshare Polska estimates that in 2013 television advertising in Poland will further shrink by 10 percent and print advertising by 15 percent. She predicts that the only medium not to experience advertising declines will continue to be internet.

If the pace of the decline continues this year, the advertising market will end 2013 below the level from 2007, experts predict.

Poland A.M.