Euro crisis hitting ad spend forecast
Advertising spend in the Eurozone as a whole is flat and “shrinking rapidly” in those countries gripped by the current financial crisis, says latest data from ZenithOptimeda.
While global ad spend is meant to benefit from the “quadrennial” events this year, including the Euro 2012 football championship, the Olympics and the US election, the gains are not being distributed evenly.
Ad spend in the Eurozone is expected to fall 1.1% this year, according to the latest ZenithOptimedia global ad spend forecast. Assuming it avoids “economic disaster” then growth is expected of 2.3% in 2013.
The growth forecast in Western Europe is slashed from 1.5% to 0.4%.
Ad spend is shrinking in Greece, Spain, Italy and Portugal as international advertisers weigh up whether to keep investing in these markets.
The media network has cuts its global forecast from March by 0.5% to 4.3% as advertisers “become more cautious about the global economy” in April and May.
Warc has just stated that it believes global ad spend will grow 4.8% this year.
The forecast says that the top 10 developing markets will deliver half of global ad spend growth between 2011 and 2014 and to increase their share of the global ad market from 32.8% to 36.7% over the next three years.
The six fast growing territories beyond the BRIC countries are Indonesia, Argentina, South Africa, South Korea, Thailand and Turkey.
Brazil is expected to overtake the UK as the fifth largest ad market in 2014.
