Ad world gears up for 2022, digital advertising to exceed 60% of global adspend
By Zion Rufus
Across industries, 2021 was a record year with groundbreaking feats and milestone achievements, and now, 2022 is kicking off with a bang for the ad industry as advertising across all digital channels have been projected to exceed 60% of global adspend for the first time in 2022, reaching 61.5% of total expenditure according to market reports from Publicis Groupe media agency, Zenith.
Described as one of the fastest growth rates in the history of advertising, WPP’s GroupM predicts that digital advertising should grow by an additional 13.5% during 2022. According to the WPP-owned media, digital now makes up the lion’s share of advertising spending and is expected to account for 64.4% of total advertising this year, up from 60.5% in 2020.
Similarly, leading market research company—ReportLinker expects the global digital market to grow from $178.60 billion in 2021 to $208.00 billion in 2022 at a compound annual growth rate (CAGR) of 16.5%. Key players in this space include Meta, Amazon, Microsoft, Google Ads, Alibaba, and Twitter. The reports also reveal that the global billboard & outdoor advertising market is expected to grow from $61.67 billion in 2021 to $66.80 billion in 2022 at a compound annual growth rate (CAGR) of 8.3%. The growth is mainly due to the companies rearranging their operations and recovering from the COVID-19 impact, which had earlier led to restrictive containment measures involving social distancing, remote working, and the closure of commercial activities that resulted in operational challenges.
Interpublic’s MAGNA predicts the global advertising market to grow by +12% and reach $795 billion in 2022, noting that linear ad format growth will moderate to +4% (still a stronger performance than pre-COVID) while digital ad formats will grow by +17% and reach 65% of total ad sales. Every industry will have increased ad spend above their pre-COVID levels by 2022, with the greatest growth coming from Finance, Entertainment, Retail and Technology.
RECOMMENDED ARTICLES
Comment
No comments found.