Dubai: Local advertisers are being extremely cagey with their ad budgets and spending choices this year, according to the top official at IAA (International Advertising Association) UAE Chapter.
“Even a best-case scenario suggests overall ad spending this year would increase only by 2-3 per cent,” said Hani Ghorayeb, President. “There are a lot of uncertainties circulating about the economy, the region, depressed consumer spending sentiments, etc.
“A lot of clients are understandably being cautious about how and what they are going to spend on ... they are keeping a low visibility ad-wise,” said Ghorayeb, who is also Chief Operating Officer at Arabian Media Services.
“As of now most agencies are yet to get firm commitments. For the ad industry, such a situation makes it extremely difficult for them to manoeuvre in. Agencies are not finding it easy to plan for a two to three month spending and then wait on clients making up their minds on what to do next.
“It’s still a relatively new trend that’s happening in this region. But, in the context of the industry as a whole, it creates a new set of uncertainties it has to deal with.”
