|Media agency bookings have slid 1.8 per cent in the month of July, further fuelling fears of another recession in the US, according to new data.
Spending by the big media agencies fell to $603.1 million last month, down from $614 million in 2010 according to SMI's latest report which is supported by other agency buying houses reports.
Metro free-to-air television bookings fell 1.8 per cent, from $240.2 million to $235.8 million. Drops have also been seen in regional free-to-air TV, radio and newspapers. Magazines saw the biggest drop, falling 9.2 per cent.
Meanwhile, digital, outdoor and cinema all saw increases, with digital rising 13.6 per cent from $58.2 million to $66.1 million.
The SMI figures are not surprising, given the recent state of the share market, which has seen shares in the nation's major media companies flatten.
Natural disasters, economic uncertainty and the Federal Goverment's carbon tax have been blamed for the downturn in ad spend as industry experts revise growth from 6 per cent down to 2.2 per cent for the remainder of 2011.
According to the Starcom MediaVest Group Media Futures Mid-Year Update, which is based on interviews with advertisers and media executives, advertisers have downgraded their predictions.
Starcom MediaVest Group chief executive John Sintras told AdNews: "While the first half of 2011 was roughly in-line with what advertisers were predicting to spend, continued global financial uncertainty is weighing on the Australian industry and a revised growth figure for the second half has significantly lowered the annual projection to 2.2 per cent."
The growth downgrade is the latest in a string of downgrades across the industry, from organisations including ZenithOptimedia, GroupM, and Fusion Strategy. Aegis Media has also toyed with downgrading its forecasts.