Study: 2018 global advertising spending
New York-based media company GroupM has released a forecast for advertising investments in 2018. The study predicts that globally, these investments will increase by 4.3% next year, an increase of $23 billion. Six countries will account for 68% of this growth: the United States, China, Argentina, Japan, India and the United Kingdom. In 2018, advertising will account for 0.69% of global GDP. The company expects this increase based primarily on increasing consumer demand. In North America, the study predicts a year-over-year increase of 3.4%
Global television spending will increase 2.2% in 2018. Digital spending will increase 11.3%, exceeding TV spending for the first time in 17 markets, including Canada. Out-of-home spending will increase by 6.3%, reaching its highest point since 1993. Radio spending will increase by 4.3%, according to the study.
"Growth is wide with more people working, but shallow with wages growing slowly," said Adam Smith, futures director at GroupM. "If the global economy sustains its rising demand for labor, it may reveal a widening skills gap. Then, competition should raise wages, spurring investment in productivity and helping inflation to finally surpass central bank targets."