“Throughout 2004, the advertising market has experienced steady, healthy growth with increases in all three quarters,” said Steven Fredericks, president and CEO of TNS Media Intelligence/CMR, a division of TNS, the world’s second largest market information company. “As we forecasted earlier in the year, third quarter spending for the Olympics and the political season elevated the volume of overall dollars brought into the advertising market.”

Ad Spending by Media
Almost all of the media measured by TNS Media Intelligence experienced growth throughout the first nine months of the year, with Local Newspapers leading in total dollar spending at $17.7 billion, up 6.6 percent over the same time period in 2003. Spending in the automotive, home furnishings/appliances and clothing/department stores categories helped propel the growth in this medium. Network TV, the second highest medium for ad dollars spent, totaled $16.4 billion, up 14 percent in part due to Olympic spending in the third quarter of 2004.

Nearly half of the media monitored by TNS Media Intelligence/CMR exhibited double digit year-over-year percentage growth, with the Internet continuing its steady rise, up 25.8 percent to $5.5 billion. Other media showing strong year-over-year growth include Outdoor, National Syndication, Cable TV, Local Magazines and Consumer Magazines.

Ad Spending by Media: Jan-Sept. 2004 vs. Jan-Sept 2003¹

Ad Spending by Advertiser
The top 10 advertisers for the first nine months of 2004 spent $12.6 billion to communicate their messages to the marketplace, a 6.8 percent increase from the same time period in 2003.

Procter & Gamble led in spending with a total of $2.1 billion, a 6.7 percent increase. While P&G utilized all major media for their messages, the company spent a good portion of its budget with Network TV, Cable and Consumer Magazines.

Other advertisers exhibiting strong spending include General Motors, whose advertising activity totaled $1.9 billion and Time Warner with a total of $1.3 billion.

Nearly all of the top 10 ad spenders exhibited some level of growth, with Verizon Communications and General Motors posting double digit year-over-year gains at 21.8 percent and 14.6 percent respectively. Verizon’s promotion of its wireless and Internet services helped fuel its strong growth.

Top Ten Ad Spenders: Jan-Sept 2004 vs. Jan-Sept 2003⁹

2004 Summer Olympics
Total television advertising revenue for the 2004 Summer Olympics reached $1.55 billion, an increase of $255 million versus the 2000 Sydney games. “In an era characterized by audience fragmentation, advertisers recognize the value of advertising during high-profile, must-see events such as the Olympics,” continued Fredericks. Network TV accounted for $1.17 billion of spending on the Games while $93 million was allocated to Cable networks. Local TV stations took in an additional $285 million in ad revenue.

On the NBC network broadcasts, a collection of 160 different advertisers aired commercial messages during the 16 days of coverage. The top five Network TV sponsors, ranked on spending, were General Motors, Coca-Cola, Anheuser-Busch, Visa and AT&T Wireless.

Top Five Ad Spenders on NBC Telecasts of 2004 Summer Olympics

Political Spending
According to TNSMI/Campaign Media Analysis Group, a TNS Media Intelligence company, $767 million was spent on political and issue advocacy television messages for the first nine months of 2004. “This has been an unprecedented election from an advertising standpoint,” noted Evan Tracey, chief operating officer of TNSMI/Campaign Media Analysis Group. “The new campaign finance laws, which some said would hinder the advertising industry, have actually increased the total spent and allowed for a significant increase in early political ad spending.”

From January to September 2004, the Bush/Cheney campaign and pro-Republican groups spent $156.4 million for their messages. The Kerry/Edwards campaign and pro-Democrat groups spent $253.8 million. Spending on other elections and ballot initiatives, along with spending by issue advocacy groups totaled $356.8 million.

Political Spending: January – September 2004

As released on November 1st, the total spending for political messages in 2004 is projected to exceed $1.45 billion. The advertising activity that occurred in October and early November will be reported in the upcoming TNSMI/CMR full year press release.

About TNS Media Intelligence/CMR
TNS Media Intelligence/CMR is the leading provider of strategic advertising and marketing information – across media, brand, industry and market. The company’s tracking technologies collect occurrence and expenditure data on more than two million brands spanning 20 media. TNS Media Intelligence/CMR is headquartered in New York City and maintains sales locations in major markets throughout the United States.

Within the TNS organization, TNS Media Intelligence/CMR is a key member of the Media Intelligence sector – dedicated to providing worldwide tracking, analysis, evaluation and consultative services for the media and marketing communities. TNS Media Intelligence is the market leader in the U.S. and France, with significant operations in Europe and Asia. For further information, including this and prior press releases, please visit http://www.tnsmi-cmr.com.

About TNS Media Intelligence/CMAG
TNSMI/Campaign Media Analysis Group is the leading provider of advertising tracking and analysis of political, public affairs and issue advocacy advertising. It is a TNS Media Intelligence company. For further information, please visit http://www.tnsmi-cmag.com.

About TNS
TNS is one of the world's leading providers of market information. The company delivers strategic market measurement, analysis, insight and advice to many of the world's largest organizations and most recognized brands. TNS's research helps its clients better understand the needs and wants of their customers, and its capabilities span market segmentation, advertising and communications, new product development, brand performance and stakeholder management. The company is also one of the leading providers of social and political polling. From its global network that spans 70 countries who together conduct research in more than 110 countries, TNS allows for local expertise and knowledge to be combined together with internationally consistent information and analysis.

TNS is listed on the London Stock Exchange (TNN) and is a trade mark of Taylor Nelson Sofres plc. Further information can be found on http://www.tns-global.com.