Global Advertising Recovery Gathers Momentum
The long-awaited global advertising recovery is now finally underway and the market is set to rise by 3.2% to $244,535 million during 2004, according to a new report from Zenith Optimedia.
This forecast is based on the eight countries with the largest advertising markets, these are; USA, Canada, France, Germany, Italy, Spain, the UK and Japan. In 2003, these countries together totaled 75% of the world’s advertising expenditure.
The advertising market is expected to strengthen further this year by the combination of the Olympic Games, European Championship and presidential elections in Canada and the USA says the report.
Already in 2004, the US advertising market has started to make very rapid improvements and Zenith forecasts this to continue and grow by 4.4% in real terms this year. On the other hand, Europe is lagging and is only expected to grow by 1.1% with the latest terrorist attack on Spain being one of numerous reason’s for Zenith having low expectations.
Japan has saw a turnaround and currently has the strongest ad market of the eight countries analysed. For the first time since mid 1990’s it has managed to sustain the recovery and a steady increase is expected in this region over the next few years. Ad expenditure is forecast to rise by 2.4% this year and a further 2.6% in 2005 & 2006.
The US is expected to contribute £155,277 million this year to global advertising expenditure, up from £147,168 last year. Europe is expected to contribute the second largest amount to the global ad revenue pot. A forecast of $63,296 million has been set for this region, up from $61,612 million which was achieved last year. Overall, Germany is expected to contribute the highest of all European countries with $20,565 million forecast, then the UK with £15,195 million.
ZenithOptimedia: 020 7224 8500 www.zenithoptimedia.com
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