Promoting optimism

Turmoil on global financial markets and the subsequent economic slowdown which is expected will have little impact on the Polish advertising market, sector experts agreed during a conference devoted to the upcoming Effie advertising awards.

Ad spending budgets are not directly dependent on either GDP or companies' financial results, according to the president of the Polish Confederation of Private Employers Lewiatan, Lech Pilawski.

"The advertising branch reacts in its own way to changes in economic prosperity," he said.

Times of crisis usually see increased expenditures on methods to enhance a company's image, Pilawski noted. He predicted that spending on advertising would not decrease next year.

"Only the growth rate of [ad expenditure] may slow next year," he said.

While 2007 saw 14-percent growth in the advertising market, this year may see an increase of some 12-13 percent, said to Dariusz Kowalski, of Equinox Media.

"The key gainer in terms of ad-market growth last year was the internet - 38 percent growth - followed by TV [with] 14-15 growth, whereas press advertising saw growth of four to five percent in Poland last year," he said.

Traditional advertising methods are being challenged by new trends - both globally and in Poland.

"The efficiency of traditional advertising methods has been decreasing, while companies' expenditures on such advertising continue to rise," said Julian Kozankiewicz, the president of EM Lab.

Thus, the uncertainty on markets could benefit new forms of advertising, said Kozankiewicz, whose company offers experiential marketing, a method which aims to get people to participate in marketing activities.

"With limited budgets, clients will be more willing to try innovative [methods]," he said.