Confidence in the industry is set to grow with ZenithOptimedia has upgraded its forecast the global ad industry will grow by 0.9% up to 2.2%.
This is the second, consecutive upgrade in forecasts by the company and also means that it has upgraded forecasts for the next two years, as a result. Now, the forecast for 2011 is for growth of 4.1%, up from 3.9% and 5.3% in 2012, up from 4.8%.
2009 saw a deep decline in advertising spend around the world of 12.1%, but signs now indicate that spend is ‘stabilising’ within the developed markets of North America, Western Europe and Japan.
The UK television market is also understood to gave strengthened this year, up 7% in the first quarter of 2010, and is expected to have increased by at least 16% by half way through the year.
In terms of online, paid digital search is the main growth area, accounting for 50.2% of all internet expenditure in 2009, and is forecast to rise again by another 52.1% in 2012.
In contract, display is expected to continue to fall by 31.7% this year, having already declined by 32% in 2009.
Newspapers are also expected to decline to 19.4%of global ad expenditure by 2012, having had a share of 25.1% in 2008, while magazines will fall to 8.6% from 11.6% in the same time-frame.
The report mirrors Zenith Optimedia's forecast last week which upgraded its expected marketing spend over the next year for the second consecutive time, having upgraded its forecast of global advertising spend to an increase of 2.2%.