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Advertising 2012 to 2014

Carat predicts ad growth of 5% in 2014 and 3.7% in 2013. "From a global perspective, growth in advertising spend continues to be led by two of the original BRIC economies of Russia and Brazil who are forecast to continue delivering double digit growth in 2014, also benefiting from host nation status for the prestigious Winter Olympic Games and FIFA World Cup respectively(Carat, March, 2 013)."

Below is Carat's global prediction chart for advertising.

Carat grlobal growth

 

ZenithOptimedia predicts global advertising will grow 3.9% in 2013 and reaching $518 billion.

"Internet advertising is fueling most of the growth in ad spending and ZenithOptimedia forecasts it will grow by 14.4 percent in 2013 while traditional media will grow only 1.6 percent. Display is the fastest-growing Internet medium, with annual growth of 20 percent. Those gains are being driven by the rise of online video and social media advertising, each of which is growing at 30 percent a year. Paid search, boosted by more product information and images within ads, is expected to grow by 13 percent a year to 2015 (Ad Week, April 29, 2013)."

 

According to Magna Global "MAGNA GLOBAL forecasts media owners advertising revenues to grow by +3.1% in 2013. ... The global advertising market reached $495 billion this year, up +3.8% on 2011. The US remains the largest market with $153 billion in advertising revenues. Japan, China, Germany and the UK complete the top five."

 

Here is a Chart on ad spending by Medium from Zenithoptimedia

Ad media Share

In the chart above note that TV is holding rather steady around 40% of all advertisng. Internet advertsing (around 20%) is continuing to increase. Newspaper, Magazine and Radio is decreasing.

 

Here is a chart from Nielsen in April 2013 on the shifts in ad spending. Clearly mobile, social media and online video advertisng are showing strong increases.

Shift in ad spending

Here is a chart on mobile ad spending dramatic increase from emarketer.

Mobile ad spending

"US social advertising revenues will grow from $4.7 billion in 2012 to $11.0 billion in 2017 (a compound annual growth rate (CAGR) of 18.6%)while locally targeted social ad revenues are projected to grow at a 26.4% CAGR, from $1.12 billion in 2012 to $3.62 billion in 2017 (Biakelsey,2012)."