What You Need to Know About the Global Ad Market

Worldwide Ad Spending Is Growing, Powered by Digital. Total Media and Marketing-Services Spending in 2016 Will Approach $1 Trillion

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Stats and facts on the global ad market:

Global advertising should see sustained growth. Ad spending will grow 3.9% in 2015, 4.7% in 2016, 4.3% in 2017 and 4.2% in 2018, according to a forecast released Dec. 7 by Publicis Groupe's ZenithOptimedia. A forecast from WPP's GroupM, also released Dec. 7, pegs growth at 3.4% in 2015 and 4.5% in 2016.

U.S. ad spending forecasts suggest more moderate growth. ZenithOptimedia forecasts spending growth of 3.6% in 2015, 3.9% in 2016, 3.2% in 2017 and 3.3% in 2018. GroupM sees growth of just 1.8% in 2015 and 2.7% in 2016.

Worldwide media and marketing-services spending is approaching $1 trillion. GroupM forecasts media and marketing spending will reach $965 billion in 2016, up 4.4% from $924 billion in 2015. (See pie chart, below.)

Digital's share keeps climbing. ZenithOptimedia expects 2015 worldwide internet ad spending of $158 billion, double that of 2011. The internet's projected share of worldwide major-media ad spending: 29.0% in 2015, 31.9% in 2016, 34.4% in 2017 and 36.6% in 2018.

Measured-media spending is falling. Measured spending—including traditional media and internet display advertising—dropped 2.1% in 2014 for the 100 biggest global advertisers, according to Ad Age's Global Marketers report. That's the weakest showing since the last recession. Measured media has been hurt by the shift to digital media not captured in the measured tally.

The U.S. is home to 40 of Ad Age's Global 100. Europe is headquarters to 32; Asia Pacific, 24. Africa, Canada, Latin America and the Middle East are each home to one of the top 100.

Nine of the Global 100 have no major U.S. measured-media spending: Telecom firms Etisalat (United Arab Emirates), Orange (France), Telefónica (Spain) and Vodafone Group (U.K.); French automakers PSA Peugeot Citroën and Renault; French retailer Carrefour; Japanese beverage marketer Kirin Holdings Co.; and South African internet and media firm Naspers.

Worldwide Media and Marketing Spending
GroupM estimates 2015 worldwide spending on media and marketing will total $924.4 billion. Media spending will account for about 54% of that; marketing-services disciplines will capture about 46%.
Click to enlarge. Source: WPP's GroupM (This Year, Next Year, December 2015). Numbers rounded. More info: groupm.com.

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