“As the economy recovers stronger and faster than anticipated in some of the world’s largest advertising markets, notably the US, UK and China,” said Vincent Létang, Magna’s global executive vice president , and as consumer demand accelerates, brands need to reconnect with consumers.’
The Tokyo Summer Olympics are predicted to drive advertising spending this year. US ad revenue is expected to hit an all-time record high of $259 billion this year – up 12.5% – while global spending hits a record $657 billion this year – up 14%, according to the latest forecast from intelligence and media investment firm Magna. Létang also points to strong growth in e-commerce, digital marketing and events like the Tokyo Summer Olympics that will drive ad spend this year. According to the report, global advertising revenue is forecast to reach $78 billion in 2021 after falling 2.5% in 2020. Besides, the market is also expected to grow 7% in 2022 due the return to normalcy after the pandemic, as well as upcoming events in the near future, such as the Winter Olympics. Magna said advertising growth was driven by an overall economic recovery, with global gross domestic product growing 6.4% in the first quarter of this year. Industries such as the auto business, tourism, entertainment and restaurants have been revived by international sporting events such as the Olympics and the European Football Championship.
You must log in to post a comment.