Social media investment will become the third channel in advertising investment
Posted: Tue Dec 03, 2024 6:32 am
New forecasts in Zenith's Advertising Expenditure Forecasts speak of stable growth in global advertising investment until 2021, with annual increases of 4.4%. In addition, they highlight the huge growth that investment in social networks experienced in 2019: 20%, reaching 84 billion dollars, becoming the third medium by investment, behind television and search engines.
According to the report's authors, advertising investment in social hungary phone number list networks represented 13% of global advertising in 2019. Advertising for TV will represent 29% and advertising for search engines, 17%. Advertising for print media (newspapers and magazines) will fall by 6% and will reach 69 billion dollars, according to the data.
Until 2021, a period for which Zenith forecasts sustained growth of 4.4% for advertising investment as a whole on a global scale, advertising on social networks will not grow as quickly as in recent years but will continue to be one of the pillars of advertising investment: it will increase by 17% in 2020 and 13% in 2021, the year in which it will represent 16% of total global advertising investment.
Meanwhile, search advertising surpassed $100 billion for the first time in 2019, growing at an annual rate of 8%, so that it will reach $123 billion in 2021, representing 18% of total advertising investment. In parallel, television advertising suffered a cut in the period analyzed, so that it will go from $182 billion in 2019 to $180 billion in 2021, representing 27% that year (two percentage points less than the forecast for 2019).
Views for the world market
Overall, Zenith says global ad spend grew by 4.4% in 2019 to $640 billion, slightly below the 4.6% forecast made in June this year. Growth is also expected to remain stable at 4.3% in 2020 and 4.4% in 2021.
“Under normal circumstances, one would expect an increase in advertising spend in 2020, as it is a ‘quadrennial’ year, benefiting from the US election, the Summer Olympics and UEFA’s Euro 2020 tournament. But given the current political and economic uncertainty, brands are being cautious about committing to additional investment at this time. This may change as sporting events approach, along with the opportunities they provide to reach valuable and engaged audiences,” the report states.
According to the report, the US advertising market now accounts for nearly half of global ad spend growth and is expected to contribute 48% of growth this year and 46% between 2018 and 2021. Digital brands and small businesses are primarily responsible for the US rebound.
In contrast, Zenith has lowered its forecasts for Europe as weak economic performance in key markets has dampened advertiser confidence. Germany and the UK have seen overall declines in goods and services in the market in the second quarter, while year-on-year growth in Russia has fallen below 1%.
According to the report's authors, advertising investment in social hungary phone number list networks represented 13% of global advertising in 2019. Advertising for TV will represent 29% and advertising for search engines, 17%. Advertising for print media (newspapers and magazines) will fall by 6% and will reach 69 billion dollars, according to the data.
Until 2021, a period for which Zenith forecasts sustained growth of 4.4% for advertising investment as a whole on a global scale, advertising on social networks will not grow as quickly as in recent years but will continue to be one of the pillars of advertising investment: it will increase by 17% in 2020 and 13% in 2021, the year in which it will represent 16% of total global advertising investment.
Meanwhile, search advertising surpassed $100 billion for the first time in 2019, growing at an annual rate of 8%, so that it will reach $123 billion in 2021, representing 18% of total advertising investment. In parallel, television advertising suffered a cut in the period analyzed, so that it will go from $182 billion in 2019 to $180 billion in 2021, representing 27% that year (two percentage points less than the forecast for 2019).
Views for the world market
Overall, Zenith says global ad spend grew by 4.4% in 2019 to $640 billion, slightly below the 4.6% forecast made in June this year. Growth is also expected to remain stable at 4.3% in 2020 and 4.4% in 2021.
“Under normal circumstances, one would expect an increase in advertising spend in 2020, as it is a ‘quadrennial’ year, benefiting from the US election, the Summer Olympics and UEFA’s Euro 2020 tournament. But given the current political and economic uncertainty, brands are being cautious about committing to additional investment at this time. This may change as sporting events approach, along with the opportunities they provide to reach valuable and engaged audiences,” the report states.
According to the report, the US advertising market now accounts for nearly half of global ad spend growth and is expected to contribute 48% of growth this year and 46% between 2018 and 2021. Digital brands and small businesses are primarily responsible for the US rebound.
In contrast, Zenith has lowered its forecasts for Europe as weak economic performance in key markets has dampened advertiser confidence. Germany and the UK have seen overall declines in goods and services in the market in the second quarter, while year-on-year growth in Russia has fallen below 1%.