Television plus online video – audiovisual advertising – is gaining share of display advertising, according to the latest adspend forecasts from ZenithOptimedia.
Television’s capacity to build reach mixed with online video’s pinpoint targeting and personalisation of marketing messages are now deemed powerful tools for establishing brand awareness and associations.
As a result, Zenith estimates that audiovisual advertising will account for a record 48.4% of display advertising in 2015, up from 44.1% in 2010, and expect its share to reach 48.9% in 2018.
Television currently rules that roost as an advertising medium, claiming a 38% share of total adspend. However, Zenith forecasts that by 2018 the internet will overtake TV to become the largest single advertising medium.
Looking at the ad market as a whole, Zenith says television’s share peaked at 39.7% in 2012 and estimates it will fall back to 34.8% by 2018.
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However, one of the reasons for TV’s loss of share is the “rapid growth” of paid search, which, together with classified, is essentially a direct response channel, while TV is the “pre-eminent brand awareness channel” – and Zenith expects it to remain so “for many years to come”.
Global mobile ad expenditure to overtake desktop in 2018
By 2018 Zenith predicts that mobile advertising will total US$114bn, up from $50bn in 2015, and will be larger than all other media except for television – which will total $215bn, up from $206bn in 2015.
Mobile advertising is responsible for almost “all of the growth” in global adspend. Zenith forecasts it to grow at an average rate of 32% a year between 2015 and 2018, and to contribute 87% of all of the new ad dollars added to the global market during these years.
ZenithOptimedia forecasts desktop internet advertising to peak at US$114bn in 2017, before falling back slightly to US$113bn in 2018, as adspend migrates from desktop to mobile.
Elsewhere, Zenith reports that digital editions of magazines will help publishers increase total ad revenues by 2% next year – helping boost total revenues by 1.8%, globally.
The overall picture for the global ad market remains strong and has been growing at about 4-5% a year since 2011. Zenith expects this stable growth to continue at least until 2018.
2016 is set to be a “relatively strong” year, with 4.7% growth in global adspend, up from 3.9% in 2015.
