Global ad revenue on pace to $590b in 2017

Staff writer
10 Jan 2017
00:00

In 2016, online advertising will account for almost $160 billion, or 30% of global revenue. Print advertising sits in third with $101 billion, followed by radio with 8.4% of the market and $47 billion in revenue.

In the US, TV advertising revenue will make up roughly 38% of the country’s total; online is just behind with 36%.

In China, online advertising revenue will be 17% greater than TV advertising revenue, a difference of $15 billion.

The most mature markets are mostly high GDP per capita markets. Israel topped the list at $719, followed by Switzerland and the US. China generated only $65 per person in advertising, despite being the second-largest advertising market. Zimbabwe was the last on the list with $0.002 ad revenue per person per year.

IHS expects global advertising revenue will grow to $590 billion in 2017. The strongest growth will come from the Middle East and Africa, followed by Asia Pacific, where India and Indonesia will steal the show.

Developed markets are likely to slow down in an “event-light”, following the high spending for the Olympics and the US elections. Online will continue to be the fastest growing medium at 14%, however, a slowdown in the revenue growth of Google and Facebook, is likely as the two are not attracting TV budgets to their online video offerings as fast as they had hoped.

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