JOR­DAN

ArabAd - - COVER STORY - BY: RAGHEED MASRI Re­search Di­rec­tor, Head of Me­di­act

Jor­dan has seen an in­crease of 5% in over­all ad­ver­tis­ing ex­pen­di­ture in 2016 com­pared to 2015 reach­ing $320 mil­lion. The rel­a­tive sta­bil­ity of the Jor­da­nian mar­ket en­cour­aged com­pa­nies to in­crease their spend­ing on ad­ver­tis­ing. The mar­ket seems to be re­cov­er­ing from the dip ex­pe­ri­enced in 2015, which could have been af­fected by the en­try of new sta­tions and the in­creas­ing role On­line Ad­ver­tis­ing and So­cial Me­dia are hav­ing. This in turn has driven the mar­ket to of­fer higher dis­counts on all me­dia en­cour­ag­ing ad­ver­tis­ers to book more spots. We have new com­pa­nies en­ter­ing the top 10 spenders and oth­ers leav­ing the same list. All Tele­com com­pa­nies were present in the top ad­ver­tis­ing spenders in Jor­dan, in­clud­ing three banks that have been on the list since 2015.

When look­ing at the num­bers by me­dia, News­pa­pers, Mag­a­zines, and Out­door ad­ver­tise­ment wit­nessed a de­crease in ex­pen­di­ture. The over­all de­cline in the ex­pen­di­ture on these was to the tune of $12 mil­lion. Although there was a de­crease in the ex­pen­di­ture on News­pa­pers, they none­the­less re­tain the big­gest share on the to­tal ad­ver­tise­ment ex­pen­di­ture of 46%. On the other hand, TV and Ra­dio have seen an in­crease in their ex­pen­di­tures by 40% and 9% re­spec­tively in 2016 com­pared to the same pe­riod in 2015.

The top 10 brands in Jor­dan spent $7.4 mil­lion more than the top 10 brands of 2015, form­ing 15% of the to­tal ad­ver­tise­ment ex­pen­di­ture. Zain has main­tained the top spot in the list, with an in­creased ex­pen­di­ture of $2.1 mil­lion, with Sam­sung also main­tain­ing its pre­vi­ous spot in sec­ond place hav­ing in­creased ex­pen­di­ture to al­most $1 mil­lion com­pared to 2015. Or­ange is ranked third this year with an ex­pen­di­ture of $6.6 mil­lion. Um­niah came in fourth place fol­lowed by Safe­way, Jor­dan Is­lamic Bank, the Hous­ing Bank for Trade and Fi­nance, Dal­las Travel & Tourism, and Ta­honeh Chicken. The most sig­nif­i­cant drop in ex­pen­di­ture in the top 10 comes from Dal­las Travel & Tourism and the Hous­ing Bank for Trade and Fi­nance.

With the re­lease of the new cen­sus, it be­came ev­i­dent that the Jor­da­nian mar­ket is be­com­ing more di­ver­si­fied with 30% of its pop­u­la­tion be­ing ex­pats. With this in­crease, the com­pa­nies will need to in­crease their ex­pen­di­ture in or­der to reach their in­tended mark. We al­ready saw an in­crease in the to­tal ad­ver­tis­ing ex­pen­di­ture in 2016. But whether this trend will con­tinue in 2017, re­mains un­clear. We wit­nessed a shift amongst Jor­da­ni­ans to­wards on­line por­tals for their news updates, as well as so­cial me­dia, which en­cour­aged com­pa­nies to start spend­ing more on dig­i­tal plat­forms. Will this con­trib­ute to an­other de­cline in ex­pen­di­ture on Print me­dia in gen­eral, is also un­cer­tain.

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