Commentary

WFA Report Predicts Media Price Inflation Of 5% For 2020

The World Federation of Advertisers is out with its annual Outlook report that documents projected media price inflation for the coming year.

Across all media and markets, 2020 inflation is forecast at 5%, which is also the number cited for total offline media. Total digital media price inflation is pegged at 5.2%.

The data for the report comes from many of the major ad holding companies (WPP being a notable exception) and media consultancies like Accenture Media Management, Ebiquity, ID Comms and others.

A total of 17 companies provided data for this year’s report. The full list of sources, along with the report, can be accessed here. It’s free, and you don’t even have to be a WFA member.

The report provides price inflation forecasts for seven media channels across 50 countries.

In the U.S. for example, TV prices are expected to rise 7.8% driven largely by continued audience erosion and higher demand spurred by the Olympics and elections.

China TV prices will rise 7.1%, per the report. Sharper increases are projected for online display and video prices in the market — 11% and 12%, respectively.

The WFA started producing the annual Outlook report in 2014. It is posted on a platform created by DigitalDecisions. Some historic pricing trends can also be found at the site.

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