Page 50 - Adnews Magazine November-December 2021
P. 50

                  Investigation
      “We expect H1 2022 to be very strong as brands look to bring consumers back into the fold and consumer spending surges.” Mark Coad
IPG Mediabrands
just easy to say, ‘Well, of course you're not going to exceed that, therefore, deceleration’.”
In the meantime, the agencies are rebounding as expected.
“What I might say could easily change in days from now,” Wieser tells AdNews.
“However, what’s been happening in 2021 is that new incremental sources of growth have been driving advertising, certainly in the largest markets, at levels that are well above what we would've had otherwise, pandemic or none.
“It's these digital endemics, as I call them, the companies whose busi- nesses are entirely rooted on digital environments — app developers or otherwise — or they're digital services that are primarily or entirely based online.
“And there are scores of companies that have only recently filed to go public or become public companies, but maybe less than 10 years old. They're spending hundreds of millions of dollars, if not billions of dollars a year in advertising. Some haven't even gone public. We barely know they exist but they're spending massive volumes and they're enabled by cheap capital.
“They're chasing cheaper capital by focusing primarily on revenue growth, independent of the cost to generate that revenue because they'll be rewarded for revenue growth and no-one's paying attention to any number below that.
“A lot of this is really advertising driven. Is it sustainable? No, but it's impossible to say at what point it stops becoming sustainable.”
Dennis Wong, managing partner, consulting, Kantar Australia: “The lockdown has produced clear winners and losers in terms of categories with money to spend.























































































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