Marketing budget growth stagnates in Asia Pacific: Warc

Having enjoyed five months of budget increases, Asia Pacific's marketing index fell 5.5 points in July, to 50.0

BestMediaInfo Bureau | Delhi | July 18, 2013

Positive sentiment among marketers weakened in July, according to the latest data from Warc's Global Marketing Index.

July's index of global marketing budgets stands at 51.5, indicative of modest growth. However, the Americas was the only region to contribute to net growth, recording a strong index value of 55.5.

Having enjoyed five months of budget increases, Asia Pacific's marketing index fell 5.5 points in July, to 50.0. Europe's index improved slightly from 48.3 to 49.7.

The GMI is a unique indicator of all the state of the global marketing industry. Every month it tracks conditions among marketers within their organisation and region. It tracs marketing budgets, trading conditions and staffing levels. A GMI reading of 50 indicates no change, and above 60 indicates rapid growth.

The headline GMI – a metric combining all three components – stands at 54.3 for July, a sign of positive expectations among global marketers, but a dip from June's 55.9.

Expectations weakened most sharply in Asia Pacific, which fell 3.6 points to 54.6. The Americas' index also fell; to an eight month low of 56.4. Europe's reading of 52.9 is consistent with recent months.

The index of global trading conditions, the second component of the headline GMI, continues to perform strongly, on 56.4, a 1.6 point drop from June. By region, the Americas weakened slightly, but remains positive on 58.5. Asia Pacific's index slowed 3.3 points to 56.6. Europe fell 1.3 points, to 53.6.

The index of staffing levels is the third and final component of headline GMI, and returned a global value of 55.0, a 2.1 point fall from June. Readings in every region weakened on this measure: the Americas declined 4.1 points, to 55.1; Asia Pacific fell 1.9 points, to 57.3 and Europe's fell 1.7 points, to 53.0.

Sujy Young, Data and Journals Director at Warc, said, “There was a slowdown in the headline global marketing index in July, suggesting that the outlook for global marketers is less optimistic than we've seen in recent months. But the index continues to indicate overall growth which is encouraging, and we're in a better position that his time last year.”

Warc's Global Marketing Index is produced in association with World Economics.

Info@BestMediaInfo.com

Info@BestMediaInfo.com