Global Ad Forecasts: 4%-5% In 2013

by , Jan 9, 2013, 11:15 AM
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Globe-AA2Another worldwide advertising estimate has pulled back on its projections for growth in the industry.

Global advertising will now climb 4% in 2013 -- down almost a full percentage point from the previous estimate made by London-based Warc, a marketing research service. But Warc says advertising growth levels will spike up next year, in 2014, to 5.5%.

Other ad agencies have lowered estimates for 2013, but eMarketer offered up more optimistic projections -- 2012 advertising spending grew 5.4% to just under $519 billion, a rate that will continue at about the same levels through 2016, topping out at $628 billion.

Warc says it compiles its estimates from current ad prices from ad agencies, media monitoring companies, business analysts, Warc's own team and other industry bodies.

In 2012 Russia, China and Brazil look to have the biggest increases -- all rising by near or above double-digit percentage gains, says the report: Russia (up 12.3%); China (10.9%); and Brazil (9.8%). India will be another big gainer -- up 8.5% for 2013.

On the flip side: Spain and Italy are expected to be the worst performers this year -- Spain down 2.8% and Italy 1.1% lower. Still, both are expected to return to growth in 2014.

Eleven of the 13 markets covered by the report will show gains in 2013. Of the lot, only Brazil had seen revised forecasts higher than previous estimates. The group expects the U.S. to see a 2.2% gain, and the U.K. looks to climb 2.0%.

Looking at individual media, the Internet will see the highest growth: 13.8% in 2013. This is followed by cinema advertising, up 3.8%, and television, 3.2% higher.





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