Data from what is the best composite view yet of Madison
Avenue’s media-buying behavior reveals that a slowdown in demand during
the second quarter may be stalling the expansion of
the U.S. advertising economy. The data, released this week by Standard
Media Index, is based on actual media buys made by five of the six
agency holding companies, and is estimated to represent about
75% of Madison Avenue’s buying power.
declined 1% during the second quarter, after surging 12% in the first
quarter, thanks in part to a boost in spending
related to the Sochi Winter Olympic Games. On balance, the two quarters
combined for a 6% expansion on Madison Avenue or the first half of 2014,
but the trend line is softening.