A major slump in advertising is moving beyond newspapers and radio and is now starting to hurt TV and the entire media industry, reports the Financial Times. Major advertisers—especially car dealers, airlines, and banks—are cutting back on marketing as the economy slows. And, analysts say, even the windfalls from the Beijing Olympics and the presidential election may not brighten outlooks.
“What we've got here is a recession in advertising," said one industry insider. "It started in local media—radio and newspapers—and is now spreading to TV.” Just how bad the picture is could become clearer this week as CBS and Viacom announce quarterly reports. CBS already has seen its shares drop 30% this year.