The global advertising market surpassed a half-trillion USD in 2014 totaling $525 billion with the top 10 countries accounting for nearly three-quarters of global advertising spend, according to the latest report from Strategy Analytics, Global Advertising Market Forecast Outlook.
Digital Markets: The top 10 digital advertising markets accounted for over 81% of global digital ad spend in 2014. And according to CMO Council, “digital ads will lead the way for global media growth in the next four years, accounting for 33% of total advertising revenue, nearly catching TV in the process. TV advertising will generate $173.7 billion worldwide in 2014 and grow to $214.7 billion in 2018. During the same period, Internet advertising will grow from $133 billion to $194.5 billion.”
Strategy Analytics’ Forecast of Overall Ad Spend: The United States alone accounted for over a third of global ad spend in 2014, 3.8 times higher than the second largest market, China, and over 16 times larger than Canada, the 10th largest market. Meanwhile China surpassed Japan in 2013 to become the second largest advertising market and will surpass Germany (4th largest market) and the U.K. (5th largest market) markets combined in 2015.
“While in absolute terms U.S. ad spend continues to grow its share of global advertising it is declining as spend in other regions grows,” said Leika Kawasaki. “Despite this, the U.S. remains at #1 in ad spend across all media types and we do not anticipate this changing any time in the foreseeable future.”
Other key findings from the SA report include:
*Global advertising continued to show strong growth in 2014, expanding 5.3% YoY. In 2015, global ad spend will increase 5% to $551 billion and by year-end 2017 will surpass the $600 billion mark.
*In 2014, the U.S. advertising market was six times larger than the bottom 10 markets combined.
*The bottom 10 markets accounted for only 5.8% of global ad spend.
* The U.S. has by far the largest TV advertising market. In 2014 it was nearly 5 times larger than China, the second largest market.