Global ad spend will growth 9.2% in 2022, overtaking pre-pandemic levels, according dentsu's latest forecasts.
The advertising market will hit US$745 billion, exceeding 2019 spend by US$117.2 billion.
This strong growth will continue but moderate in following years. Global ad spend is predicted to grow by 4.6% in 2023 and by 5.8% in 2024.
This year builds on a stronger than expected recovery in 2021 when global ad spend passed 2019 levels by 8.7% and increased year-on-year by 17%, the highest recorded market growth by dentsu.
In Australia, ad spend is forecast to grow 6.1% in 2022 after a 17.6% jump in 2021.
The fiorecast is better than Zenith's 5% in 2022, about equal to GroupM's 6.2%, anbd below MAGNA Global's +10%.
Dentsu says the positive momentum from 2021 will continue into 2022, with growth boosted by the Winter Olympics & Paralympics Beijing 2022.
The second and third quarters mare forecast to grow by 10.3% and 10.7% respectively. Q4 2022 is forecast to grow by 9.2% on a like-for-like basis driven by the FIFA World Cup Qatar and the pre-Christmas surge.
Digital spend is forecast to account for a 55.5% share of global spend in 2022 and is predicted to increase to 59.4% share in 2024.
Social (21.4% YOY growth), Video (18.9% YOY growth), and Search (16.9% YOY growth) are predicted to lead digital growth.
The strong demand and the limited supply of TV audiences has led to price inflation.
Linear Television ad spend is forecast to grow by 3.8% in 2022 to reach US$197.8 billion, however share is declining with focus growing on Connected TV and Video on Demand (VOD).
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