Spending on paid media worldwide will reach $584.1bn (£437.2bn) by the end of this year and approach $757.4bn in 2021, according to the latest numbers from eMarketer. The analyst said the increases will be driven largely by advertiser investments in mobile formats. Ad spending growth rates will range between 4.9 per cent and 8.3 per cent over the forecast period.
Growth estimates are largely on pace with eMarketer’s previous estimates released in April, according to the new report, Worldwide Ad Spending: eMarketer’s Updated Estimates and Forecast for 2016-2021.
Every market included in eMarketer’s forecast will see ad spend grow in 2017, though gains will vary markedly based on advertising and economic conditions, among other factors. Argentina, China, India, Indonesia and Ireland will experience the fastest growth this year, while Finland, France, Hong Kong and Singapore will see the slowest growth.
N. America will continue to be the top ad spending market, with outlays growing by 5.2 per cent this year. Growth will be slightly below the worldwide average of 7 per cent, mainly because N. America is one of the more digitally mature regions in the world. N. America will maintain healthy annual growth throughout the forecast period, with a bump in 2020, when the next US presidential election and Summer Olympics take place.
Elsewhere in the world, digital ad growth in India and China will spur rapid growth in the Asia-Pacific region, such that the region will surpass N. America in total ad spend by 2019.
eMarketer’s forecasts are based on an analysis of quantitative and qualitative data from research firms, government agencies, media firms and public companies, plus interviews with top executives at publishers, ad buyers and agencies. Data is weighted based on methodology and soundness.
There’s more information about the report here.
In another report released today, Zenith, predicts that 53 per cent or internet ad spend this year will go to mobile, rising to 59 per cent next year and 62 per cent in 2019, when the total mobile ad spend figure will reach $156bn, or 26 per cent of all media ad spend.
The Zenith report also forecasts that five markets will see smartphone penetration of over 90 per cent in 2018. These are the Netherlands (94 per cent); Taiwan (93 per cent); Hong Kong (92 per cent); and Norway and Ireland (each 91 per cent).
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