Each month we publish the 3 key topics that got our Linkedin ‘Media Minds’ group talking the most. Here’s what our group had to say in March:

Things can only get better

Things are looking up for media folk this month with a succession of good news stories. In the UK, the largest commercial TV channel ITV reported advertising up 29% in April, 27% in May and 32% for June driven mostly by retail and FMCG clients. Brokers at RBS say an 11% increase for the year is “conceivably possible”.
In the US and Canada, automotive spend is on the rise while both Carat and Zenith have now upgraded their global ad forecasts, predicting respectively a 2.9% and a 2.2% increase in 2010, up a couple of percentage points from previous figures.
According to Carat, Germany and Spain’s ad markets will still shrink but the US forecast has turned positive. New boss of Aegis Jerry Buhlmann says 2011 will be “an increasingly benign environment”.
The positive news has also fed through to industry employment data, with BNET’s Ad Agency Layoff Counter reporting that WPP is hiring again, R/GA is looking for 230 staffers and Euro RSCG Life has 50 vacancies.

MediaSense thinks:

April 2009 marked the nadir for the global recession, so year-over-year comparatives will be very positive for the next two quarters. Global stock markets have priced in a recovery. So if the revival extends into the autumn, we can say with confidence that the media recession is over.

Traditional media fight back

The group has detected a global mood amongst regulators and traditional media owners to turn the tide against digital upstarts such as Google.
The Times in the UK is heading behind an online paywall with an aggressive strategy against aggregators. Also in the UK, a report from The Commission of Inquiry into the Future of Civil Society calls for Google and other companies who make money by aggregating news to be taxed to support local newspapers. A similar proposal has also been debated by the US Federal Trade Commission.
UK restrictions on TV ad sales could also be loosened, with the regulator Ofcom proposing to review the rules on conditional selling and possibly allow broadcasters to restrict supply of ad minutage. A relaxing of cross-media ownership rules is also on the cards in the US and Australia
One contributor to Media Minds suggests that traditional media owners should change their approach to digital investment to be successful. Essentially, they should stop looking for a single big solution and focus on lots of small initiatives. VOD is the fastest growing online display category right now, and traditional content owners appear well-placed to reap its benefits.

MediaSense thinks:

Well, it’s about time! The past 5 years have shown us that the ad-funded model cannot survive in isolation; consumers (and aggregators) will pay for great content; and the last click should not always win. Regulators must continue to play a key role in maintaining healthy media ecosystems.

The iPad changes everything?

Rupert Murdoch has become a fan and Apple had a good launch weekend for its new techno-wonder, shipping 300,000 machines to consumers, who downloaded one million apps and more than 250,000 ebooks during the first day of US sales.
It’s the Apps for the new platform that represent potential salvation for traditional media owners, offering them a way to monetise content via the web as effectively as they have been able to in the mobile space.
But more than that, the tablet could transform the newspaper and magazine reading experience, offering interaction and supplementary content at the tap of a finger. Apps have been launched by Wall St Journal, The Guardian, New York Times, US Today, GQ, National Geographic and Men’s Health. Although many offer free taster content, most charge for full access.
Reviewers have generally been impressed with the iPad, citing its bright and responsive multi-touch screen. However, the first problems have also surfaced with users reporting intermittent WiFi problems, and the absence of Flash as an option for publishers.
Group members agree that its ultimate success will depend on its ability to influence on the whole PC/laptop market, beyond simply offering Apple connoisseurs a bigger mousetrap.

MediaSense thinks:

Add apps and e-subscriptions to advertising and cover prices, and the fate of publishers is back in their own hands. For the time being, the economics of devising bespoke immersive ads for apps just doesn’t add up, but every advertiser should be testing and experimenting in this new environment.

March’s most read articles were:

1.WPP: Digital will be 2/3 of our business in 3 years
2.Media agencies suffer as recession bites
3.Hiring freeze thawing as agencies hunt for talent
4.Aegis promotes Buhlman to Group CEO
5.MediaSense announces client management deal

Posted Monday 12th April 2010