• by Colin Kirkland , October 14, 2024

Global experiential marketing -- including both the consumer and business-to-business sectors -- is expected to surpass pre-pandemic spending this year, according to a new report by marketing intelligence company PQ Media.

PQ Media's findings show that both B2C and B2B sectors grew 9.7% in 2023 to $116 billion, leaving the industry far below the 2019 spending level of $122 billion. This year’s experiential marketing spend across the globe is estimated to reach $128 billion, growing over 10% year-over-year.

Overall, B2C experiential marketing received more spending than B2B at $82 billion in 2023, with projections to rise 10.3% this year to $90 billion. According to the report, this increase is fueled by spending from official sponsors of the Paris Summer Olympics teams from each country, as well as political candidates in 14 of the 20 largest global media markets.

Within this sector, consumer event sponsorship made up $43 billion in 2023, with sports being the largest category at $29 billion, capturing a 67% market share. While live consumer events was the fastest-growing B2C channel, up 9.6% with sports and entertainment being the largest category at $16 billion.

“Consumer event sponsorship growth is being driven by new venues accepting sponsorship deals, such as those in sports arenas, floor spaces and uniforms, among others,” says PQ Media CEO Patrick Quinn, adding that live consumer event marketing is growing faster than consumer event sponsorships because it gives brands exclusive access to target consumers, “particularly younger demographics at malls, college campuses and nightclubs.”

On the other hand, B2B is expected to grow faster than B2C in 2024, at 11% to reach $38 billion. This growth is fueled by exhibit booth rentals and attendance fees, as companies expand their physical showcases to add AI demonstrations, according to PQ Media.

“Booths are becoming more interactive and engaging, using virtual reality demonstrations and related personalized promotional products,” adds Quinn.

In addition, companies continue to send more executives to shows following the cratering of attendance at the peak of the pandemic.

Within B2B experiential marketing, exhibit space rental fees marked the largest channel in 2023 at $21 billion, and was the fastest growing channel, up 11.8%.

Conferences, seminars and virtual shows were the second largest category, while trade show promotions were the second fastest growing. The report shows attendance fees as the smallest and slowest growing B2B channel.

The U.S. alone commanded 45.5% of global spending on overall experiential marketing, remaining the world's largest marketing at $53 billion in 2023. In terms of growth, however, it trailed behind Poland, India and Taiwan.

In the U.S., B2C experiential marketing was the larger of the two sectors at $40.5 billion in 2023. However, B2B experiential marketing grew faster, increasing 13.4%.

Event sponsorship was the larger of the two B2C channels at $20 billion, while live consumer events grew faster -- up 11.1%. Sports was the largest of the six event sponsorship categories at $14 billion, while sports & entertainment was the largest of the five live consumer event categories at $8 billion.

Meanwhile, exhibit space rentals were the largest of the four U.S. B2B channels at $8 billion in 2023, as well as the fastest growing, rising 13.8% during the year, while entertainment & recreation was the largest B2B industry vertical category, reaching  $2 billion in 2023, according to the report.

“Experiential marketing is becoming a more important part of marketing campaigns because of better metrics and engagement with customers,” says Quinn.