A new report by the Communications Authority of Kenya (CA) has unveiled a stark shift in Kenya’s advertising landscape, with media and financial services emerging as the dominant players.

These two sectors collectively gobbled up over a third of the Sh67.3 billion spent on advertising in the year to June 2024.

The data, released today, highlights a period of robust spending by businesses as they navigated challenging economic conditions.

Between July 2023 and June 2024, a staggering Sh37.2 billion was channeled into television, radio, and print advertisements by companies operating in media, finance, corporate and multi-brand, communications, and personal care.

“Overall, industry spending increased by 21 percent. The total spending grew from Sh16 billion in the Q1 2023/24 to Sh17 billion in the Q2 2023/24. However, it fell to Sh15 billion in the Q3 2023/24. By the fourth quarter of 2023/24, spending surged to Sh18 billion, with the greatest growth seen in the property, building, and accommodation sectors,” the authority's report read in part.

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Media houses, film production companies, and publishers collectively spent a whopping Sh10.37 billion, securing the top spot. Close behind was the financial sector, comprising banks, insurance firms, and digital lenders, with a total expenditure of Sh9.87 billion.

The communications sector, dominated by telecommunications giants such as Safaricom, Airtel, and Telkom, contributed Sh5.26 billion to the advertising pot. Notably, this sector witnessed its highest spending in the final quarter, amounting to Sh1.75 billion.

“Specifically, TV has the greatest spending, with radio coming in second. Media have the highest spending on TV while Financial Services on radio. Corporate & Multi-brand have the highest spending in print,” the CA stated.

The personal care industry, buoyed by the growing popularity of hair and skin care products, secured the fifth position with a total expenditure of Sh4.9 billion.

This sector displayed remarkable growth, with spending peaking at Sh1.48 billion in the final quarter, surpassing even the gambling industry.

In contrast, the once-dominant betting and gambling sector experienced a significant downturn. After years of heavy spending, the industry’s expenditure dwindled to Sh4.8 billion for the year, with a mere Sh1.063 billion allocated in the last quarter.

Other notable spenders included real estate, food, household goods, and publishing and education, contributing Sh4.35 billion, Sh3.27 billion, Sh3 billion, and Sh1.9 billion respectively.

The report underscores a dynamic shift in Kenya’s advertising landscape, with traditional media and financial services emerging as key players while sectors like gambling experience a decline.