Global advertising spending is expected to grow 4.6 percent in 2018 to $579 billion. Advertising’s projected growth, from Zenith Media’s March 2018 Advertising Expenditure Forecast, is ahead of the 4.1 percent annual growth the firm forecasted in December 2017. It credits the uptick in its projections to unexpected growth in several markets, including China, the Philippines, Argentina and Ireland.
Zenith forecasts North American advertising growth of 3.4 percent in 2018, and expects the market to grow an average of 3.2 percent a year to 2020. Between 2017 and 2020, global advertising expenditures are expected to grow by $77 billion, with 26 percent of that value coming from the U.S. and 22 percent by China. Indonesia, India, the UK and Japan will contribute four percent each.
Looking at global advertising expenditure by medium, internet advertising took the top spot from traditional television in 2017, accounting for 37.6 percent of total spending. Zenith estimates the medium grew 14 percent year-on-year in 2017 and it expects an average annual growth rate of 10 percent until 2020. By 2020, internet advertising is projected to account for 44.6 percent of global advertising spending.
Mobile advertising, as a subset of internet advertising, grew 37 percent in 2017, following 47 percent growth in 2016. It’s expected to grow at an annual rate of 19 percent between 2017 and 2020. Desktop advertising, in turn, is projected to slip one percent per year. Global spending on mobile advertising reached $107 billion in 2017 and is expected to reach $180 billion in 2020.
More on Zenith Media’s forecast can be found here.
