Advertising will continue to strengthen over the next three years, with global advertising spend growth forecast to rise from 3.9 per cent in 2013 to 5.5 per cent in 2014, according to ZenithOptimedia’s new Advertising Expenditure Forecasts.
Growth is then set to increase to 5.8 per cent in 2015 and 6.1 per cent in 2016. This growth will be driven by improvement in the global economy, the spread of programmatic buying, and the rapid rise of mobile advertising.
According to the forecast, global adspend will be boosted this year by the three ‘semi-quadrennial’ events – the Winter Olympics, the football World Cup, and the mid-term elections in the US – which will benefit television in particular. Advertisers are also gaining in confidence as growth returns to the Eurozone, which now looks more stable and less likely to deliver more negative shocks to the world economy. In general, advertisers are in a strong position to invest in expansion, with large reserves of cash and high profitability. In view of this, ZenithOptimedia expects growth to increase in each of the three years it has forecast.