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-

home up.

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%.