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BizReport : Advertising archives : March 19, 2019

Forecast: Ad spend to slow this year

While the global ad spend is expected to reach more than $616 billion this year, the growth rate is slower than last year's. That, according to a new forecast out from WARC. According to their estimates, the global ad spend will increase about 4% in 2019, that is down just over 1% from 2018 spending levels.

by Kristina Knight

However, the spend online will continue to be strong. While Google and Facebook account for more than 60% of online ad dollars; the two online behemoths may take more ad dollars from other digital marketplaces, though. WARC's data indicates that the online ad spend outside of Google and Facebook could decline as much as 7%. The spend on Google and Facebook sites is expected to increase by at least 20% for the year.

Marketers can also look for mobile to make strides forward. WARC's experts say the mobile ad spend will increase by at least 21% for the year, to total about $167 billion. That spend could push mobile ad budgets higher than television ad budgets for the first time. Ad budgets for television and for print media is expected to decrease through 2019, as more budgets are pushed into digital and mobile formats.

More WARC data can be accessed here.

As to how marketers will divide their digital ad budgets, Adobe's Digital Trends report indicates more ad dollars will be put into AI and the customer experience.

In 2018's survey most execs (73%) noted their companies were investing more in design; for the 2019 survey 64% say they're putting more focus on the customer experience and just over half (55%) say they are prioritizing segmentation and ad targeting.

Tags: Adobe Digital Insights, advertising, advertising trends, digital ad spend, digital advertising, email marketing, mobile marketing, WARC

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