Investment in advertising will grow by 8.7% worldwide in 2022 thanks to the boost of the digital sector
According to the latest Global Ad Spend Forecast report from Dentsu, one of the world’s largest advertising agency groups, advertising spend will grow 8.7% globally in 2022. The semi-annual report, which combines data from nearly 60 countries, anticipates that investment will reach 738.5 billion dollars (726.4 billion euros) worldwide throughout this year.
Looking ahead, Dentsu expects the 2023 global ad market to grow 5.4% to $778.6bn (€766.3bn)followed by a further increase of 5.1% in 2024.
This forecast is released against the backdrop of escalating media price inflation, geopolitical tension, upcoming key elections and one of the most anticipated sporting events of the year, the World Cup. “Due to continued uncertainty, the current and historical comparison data has also been adjusted to remove investment from Russia from the forecast, to better reflect the rest of the international ad spend trends and predictions,” Dentsu explains in the statement. of the.
In any case, the study takes into account the current inflationary situation, reflecting that there are advertising items that experience it more intensely than others. Thus, traditional television will register an average inflation of 10.2% in 2022. Other media are experiencing lower levels of inflation: inflation in digital video (excluding TV content) is forecast at 5.3%, OOH at 4.3%, Radio at 3.7%, Display at 3.0% and the Newspapers and Magazines item will register a price increase of 1.1%, with even deflation in some markets.
Investment in digital, the great engine of advertising
As we have seen in the case of Spain, the digital investment It continues to be the great engine of global advertising investment in 2022 (+14.2%) to reach €403,000M, a share of 55.5% of the total advertising investment. This growth is supported by video (+23.4%), paid social (+21.9%), search (+12.9%) and programmatic (+19.9%) formats. The digitization of traditional media will be another key driver of growth in total ad spend in 2022.
For its part, television advertising investment will grow by 3.6%, reaching €188,000M. Within this, traditional TV will grow 2%, connected TV (CTV) 22.3% and Broadcaster Video on Demand (BVOD) 16%, as audiences move to digital platforms.
Out-of-Home (OOH) and theater advertising will see encouraging double-digit growth in 2022 (11.5% and 19.6%, respectively). Radio is also forecast to grow much faster than initially estimated with a new 5% forecast for the year, up from 2% in January predictions. As with previous predictions, advertising investment in newspapers and magazines will continue to decline. Thus, ad spend in these print media is expected to decline by 3.6% in 2022, followed in 2023 by a slower decline rate of 2.7%.
Regarding industry, the highest growth is expected for the technology (+11.3%), which has benefited from a greater dependence of people on digital devices. The retail commerce is one of the key sectors for spending growth at a rate of 11% in 2022. The sector is driven by a number of factors, including significant growth in e-commerce, the entry of new players, and the introduction of emerging retail platforms .
Image: Depositphotos
Stay informed of the most relevant news on our Telegram channel
![Consumer spending on shopping apps increased 37% during Q4 2022 [AppsFlyer]](https://www.logitechgamingsoftware.co/wp-content/uploads/2023/07/imagen-2023-07-20T122224.702-336x220.jpg)
