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Ad volumes of auto sector on TV plummet by 23% in 2020: TAM Adex

As per the adex report, the news channel genre topped the preference list of auto sector during 2020, while print witnessed 1.4 times growth in Q4 versus Q1

e4m by exchange4media Staff
Published: Mar 19, 2021 12:29 PM  | 3 min read
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Covid-19 hit ad volumes of the auto-sector on television in 2020, which led to a 23% drop compared to 2019, stated TAM advertising report for cross-media on the auto sector. The report highlighted that due to Covid-19, the lowest ad volumes observed in the second quarter, which includes the lockdown period, and compared to the third quarter of  2020, Q4 witnessed 16% ad volume growth on TV. 

Also, from August months onwards, ad volumes for the Auto sector increased to double-figure and reached a maximum during the festival season (Oct’20), while during the lockdown, the Auto sector had the lowest share due to Covid-19.

As per the report, car categories alone contributed 56% to the ad volume share of the Auto sector followed by Two-wheelers with 34%.  The top ten advertisers accounted for more than 60% share of ad volumes in 2020 with TVS Motor Company topping the list. Among the top 10 Auto brands, KIA Sonet was on top followed by TVS Jupiter and the top 10 brands accounted for 28% share of ad volumes in 2020. 

In addition, the top two-channel genres (news and movies) on TV together accounted for more than 75% of ad volume share for the Auto sector during 2020.  And the news channel genre topped the preference list of the Auto Sector during 2020.

 In the print sector, compared to the first quarter of 2020, Q4 witnessed 1.4 times ad space growth. While the ad space of the Auto sector in Print declined by 26% in 2020 over 2019, due to Covid-19, the lowest ad volumes observed in the second quarter which includes the lockdown period.

The print ad space recovered to the pre-lockdown level just within three months of the post Lockdown period and witnessed double-digit growth from Sep’20 onwards till the entire festive period (Nov’20). As per the report, cars and two-wheelers together accounted for more than 80% ad space among the top 10 categories of the auto sector and the top five advertisers accounted for 50% share of ad space in 2020 with Maruti Suzuki India and Hero Motocorp leading the list with 14% share each.

In the radio category, compared to the first Quarter of 2020, Q4 witnessed 2.3 times ad volume growth and the Auto sector on Radio declined by 24% in 2020 over 2019.  Due to Covid-19, the lowest ad volumes observed in the second quarter, which includes the lockdown period.

The lowest ad volumes were observed in Apr’20 and May’20 which was a lockdown period, while the festive period boosted ad volumes for the Auto sector during Sep’20-Nov’20. On Radio, ads for cars and two-wheelers topped with 80% of the total ad volume share of the Auto sector.  The top five advertisers accounted for more than 55% share of ad volume in 2020 with Maruti Suzuki India leading the list. Among the top 10 Auto brands, five brands belonged to Maruti Suzuki India Advertiser and the top10 Brands accounted for a 40% share of ad volumes in  2020 with Maruti Suzuki Arena, which was a leading advertiser in the list.

On Digital, compared to the first quarter of  2020, Q4 witnessed a substantial rise in ad insertion growth, while ad insertions on digital declined by 41% in 2020 over 2019. Due to Covid-19, the lowest ad insertions observed in the second quarter, which includes the lockdown period. On digital, cars were top auto categories with 48% followed by two-wheelers with 28%.  Top 10 advertisers accounted for more than 59% share of ad insertions in 2020 with KIA Motors Corporation leading the list.

Meanwhile, the top 10 brands accounted for a 29% share of ad insertion in 2020 with BMW Car leading the list with 6% of the total ad insertions of the auto sector on the digital medium.  Among the top 10 brands, two brands each belonged to KIA, MG & Isuzu.

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