Global net TV advertising revenues are expected to climb by 3.8% in 2011 to $149 billion, according new forecasts from Informa Telecoms & Media.
The firm also said TV advertising revenues are expected to climb by 3.8% in 2011 to $149 billion.This follows a 10.3% increase in 2010, which rebounded from an extremely difficult year in 2009, when global revenues dropped 8.1%.
The increase in 2010 was driven by improving consumer and corporate confidence along with the summer’s World Cup finals. However, there is still some hesitation over the strength of the economic recovery and this – combined with a lack of global events – means the 2011 forecast is more muted.
With a slow improvement expected for 2011, the ad market is looking forward to 2012 – the year of the London Olympics (in an ad-friendly time zone for most of the world’s top markets) and the US presidential elections.
Growth thereafter will generally be slow, though the soccer World Cup finals in Brazil will boost the 2014 figures and the 2016 Olympics (also in Brazil) will have a similar impact. The total revenues will be $186.7 billion in 2016. North America will remain the dominant region, although its share of the global total will fall to 40% in 2016. The new-found economic stability evident in Latin America will see it become the big growth region during the forecast period.