TV will represent 80 per cent of global video ad spend in the next five years, according to a new report from analysts Strategy Analytics.
In their Global Advertising Forecast - 2-20-2023 report, the company says this year, global TV ad spend will be over $195 billion and grow to $210 billion by 2023.
Digital video will represent only 20 per cent of global video ad spend in 2023, despite being the fastest growing digital advertising category (+10.8 per cent CAGR over 2018-2023), reaching nearly $51 billion in 2023.
The report says the U.K., which has been a leader in adoption of digital advertising and was the first country to see total digital advertising eclipse that of TV advertising, leads global territories in terms of digital’s share of total video, accounting for 44 per cent in 2023, followed by the U.S. (30 per cent) and China (27 per cent). On a per capita basis, marketers will spend $67.27 per person on digital video advertising in the U.K. versus $65.76 in the US.
Michael Goodman, director, television and media strategies, at Strategy Analytics said, “With consumers increasingly watching video across platforms, including mobile devices and connected TV screens, audience measurement agencies are evolving their tools, however, cross-device measurement solutions are still geared towards reach-based metrics, and in a fragmented online world, no media can provide reach better than television.”
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