In its first year after its merger with SBC, the “New AT&T” boosted ad spending by 29 percent through September 2006. Working through its lead media and creative agency, GSD&M of Austin, Texas, the San Antonio-based company shifted spending away from print and toward the Internet and other media. Web spending soared 163 percent in the first nine months of 2006—when it introduced its “Your World. Delivered.” campaign—while print fell 13 percent from 2005. (Nonetheless, print still accounted for 27 percent of the company’s $1.7 billion ad spend compared to the Web’s 7 percent.) The launch of the new brand also prompted a 55 percent jump in TV in the first nine months of 2006 to $765 million. As a percentage of overall ad spending, TV grew from 39 percent in 2005 to 47 percent in 2006 (to $765 million). Hispanic advertising also profited from the branding push as its ad spend grew 107 percent (now 4 percent of its total budget)after falling 51 percent in 2005. Radio spending also went up, by 28 percent ($196 million).
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