Global Internet Advertising Expected To Hit $205 Billion In 2017
Global internet advertising will grow 13 percent in 2017 to $205 billion, forecasts Zenith Media in its latest Advertising Expenditure Forecast. Of total expenditures, internet advertising is slated to comprise 36.9 percent, up from 34 percent in 2016.
While internet ad spending is expected to overtake traditional television ad spending in 2017—at $192 billion—its growth rate is slowing. It grew 17 percent in 2016 and 20 percent in 2015. Looking ahead, Zenith Media expects internet ad spending to expand 12 percent in 2018 and 10 percent in 2019.
“Internet advertising has contributed all of the growth in global adspend since the beginning of the decade, and has stimulated much of the innovation we’ve seen in the market,” says Vittorio Bonori, Zenith’s global brand president. “Innovation is proceeding as fast as ever, and we believe that this is what will continue to drive brand growth for advertisers.”
Social media, the fastest-growing sector in internet advertising, is expected to reach $55 billion in 2019, overtaking print newspapers at $50 billion. Social media grew 51 percent in 2016 and Zenith Media forecasts its expansion to average 20 percent per year through 2019.
In PPAI’s Distributor Sales Volume Report released last summer, promotional products ranked fifth in 2015 sales at nearly $21 billion, and was one of the fastest-growing traditional media, surpassed only by broadcast TV.
Global advertising has grown four to five percent each year since 2010 and Zenith Media expects it to continue at that pace through 2019 with a forecasted 4.4-percent growth rate for 2017.
For Zenith Media’s executive summary of its Advertising Expenditure Forecast, click here.