COEN SEES AD GROWTH NEXT YEAR
By Adnews Staff
Total U.S. advertising expenditures will increase 6.2% to $198.4 billion(US) in 1998, according to New York-based McCann-Erickson Worldwide forecasting director and senior vice-president Robert Coen. Expenditures in national media will rise 6.3% to $116.9 billion. But the economy will slow down, with the U.S. gross domestic product growing 2.5% next year, compared to 3.7% in 1997. A strong economy, low unemployment and continuing consumer confidence are helping the ad industry. Expenditures among the top seven marketer categories were up 7.3% in the first eight months of 1997, compared to the same period of 1996. The secondary categories are still spending more overall because of double-digit increases in spending among the computer and resort/tours segments. This makes up for double-digit drops in categories such as insurance companies and airlines.