By SONALI KRISHNA
Indiantelevision.com Team

MUMBAI: Expect a splurge in advertising spends this Diwali with corporate results showing healthy growth?

Yes, an eight per cent spike is estimated by industry experts. But advertisers are in no extravagant mood. "The macro indicators would have supported a much higher growth. But we are not seeing generous buying in media this Diwali," says a media analyst.

There seems to be a divide this year. While mainline channels have been kept out of the boom, it is the news, regional and frequency channels who are riding high this season. Speaking to Indiantelevision.com, Mindshare's investment director Lakshmi Narasimhan explains this to be driven by local rather than national advertisers. "The regional channels and publications are the biggest beneficiaries. Attributed to the unbundling of options for the local advertisers, the regional front this Diwali definitely seems to be living the festive mood."

The retail boom helps explain this trend. Says Jaya TV vice president marketing K Balaswaminathan, "Retailers are advertising big time. Their business is on the high and they are expanding their wings to new geographies. We expect our billing to go up by 30 to 40 per cent this Diwali."

Top categories on the regional front are Jewellery, textile, sweets, and milk.

News channels are cashing on. Says NDTV Media chief executive Raj Nayak, "News channels specifically have been the beneficiaries as a lot of small advertisers have come on board. Local advertisers with modest budgets have realised that they can achieve the same impact and noise on a news channel ."

A similar logic explains why frequency channels have gained. Advertisers are not willing to pay a high premium for buying media this Diwali.

R K Swamy BBDO media head PRP Nair admits there is no special emphasis this Diwali from bigger advertisers. "Clients like Raymonds and Hawkins have continued to spend but there is no real splurge. As for white goods, who are heavy spenders on festive seasons, the extravaganza is gone. Telecom sector has also become less active. Even in print, there are very few full page ads seen this Diwali," he says.

Channels, however, have filled their inventory. "The demand has been strong this year. For most channels, the inventory is booked," Madison Communications CMD Sam Balsara says.

Though Star hiked its advertising rate card before the Diwali season on a spike in ratings of its popular Star Plus channel, other networks have not been able to charge a premium this season.

The ad spend growth has not kept pace with the inflation seen in the media industry which is in the range of 8 - 12 per cent. This seems to worry the industry. Says Madison Communications media manager Sudipto Roy, " There seems to be a definite increase in spends at least on TV. But the buoyant feeling is missing. Considering consumer and media inflation at six and 10 -12 per cent respectively, an eight per cent increase in ad spend does not seem very encouraging."

Television advertising has gone up by 25 per cent for the months of September and October while print has slumped 18 per cent. This can be attributed to the fact that all the top categories are spending more on television than in print. The top spenders, though, still remain the same --- the four-wheelers category.

The growth categories in print this Diwali is attributed to tourism, real estate, education, connectivity services, retail and appointment advertising.

Other categories which have reported a hike in their TV ad spends are toilet soaps, paints and shampoos. TV sets and toothpastes as categories have dipped in their spends this Diwali, says Roy

On the online front, there is no special activity. But there has been a 30-35 growth since October. Nothing significant, considering that the base is low. But new categories have climbed on to the online space.

Says Mediaturf COO Ratish Nair, " There are new categories like travel companies, consumer durables, automobiles and Internet service providers who have entered this space since August. This is commendable as largely the financial segment has been active in the online space."

The outdoor scenario seems quite upbeat this Diwali. Outdoor agencies say the mood this year is very promising. The reason: the entry of more and more consumer products in the market. Besides, Eid follows the Diwali day.

Mumbai, particularly, has had more and more shops and malls entering the market. This had provided an opportunity for the outdoor space to capitalise this Diwali..

Says Bright Advertising general manager Manish Jain ,"Compared to last Diwali, the Mumbai outdoor ad market is expecting 10 to 20 per cent increase in returns this time."

Prominent advertisers on the outdoor this year are Indian Oil, financial institutions and electronic consumer products including Videocon and Sansui ."Financial institutions are more interested this Diwali." adds Jain.

The outdoor media has seen a further boost with more movies being released this Diwali. Says Zenith Outdoors MD Yash Gala ,"This is the best season I have seen in ten years. Lot of factors have come into play. The elections have just got over and there is hope of a stable government. Also, corporates are looking at Diwali as their prime sales point. Overall a great time for the outdoor guys."

Major advertisers roped in by Zenith are Star One, Zee, Sheetal (fashion store), Indian Airlines and shoe companies.

All in all, it has been a subdued mood across all media mediums this Diwali. But the industry hopes the stage may be set for an active festive season ahead.

(With additional inputs by Bijoy AK)