The mid-year advertising forecast predicts
that the worldwide ad market will grow by 3% this
year to $486 billion. That’s slightly less than the 3.1% gain
forecast six months ago. Advertising growth is expected to
accelerate in 2014 to $515 billion, a gain of 6.1% – up from
the 6% forecast from six months ago.
Television will still be the dominant media,
accounting for 40% of global ad
revenues, but the growth is mostly
coming from digital media. Digital ad
revenues are forecast to increase by
13.4% this year to $113.6 billion, with
mobile gaining 54% to $12 billion,
social 39.6% to $8.2 billion, video
21% to $6.6 billion, and search 14.6%
to $52 billion.
The absence of any big global
televised events (such as the Olympics) this year is
expected to slow TV ad revenue growth from 2012’s 5%
to only 2%, which will bring that total to $196.5 billion. As
for the other legacy media: Newspaper and magazine
revenues are projected to decline, with radio and out-of-
Forecasters say the U.S. economy is
slowly recovering, so 2013 ad revenues are expected to
gain 0.4% to $155 billion. However, if adjusted for political
and Olympic spending, the underlying growth would be
about 1.5% more. 2014 is seen gaining 5.4-5.9%.
Digital media is expected
to grow 11.5%, and is the only category expected to show
significant growth in 2013. Within digital, mobile advertising
is forecast to shoot up 61.7%. U.S. newspapers are
forecast to see ad sales drop 6.8% and magazines 6.7%,
while radio is expected to be flat and out of home up 3.5%.