ZenithOptimedia has lowered its global advertising growth forecast for 2011 as a result of recent events in the Middle East and the earthquake in Japan, but has also increased its growth estimate for the US.
The company has lowered its global forecast from 4.6% to 4.2% due to events in the Middle East and Japan in recent months, with global advertising spend for major media in 2011 now at $470.8 billion.
The report claims that during the upheavals in Egypt there was almost no advertising broadcast on television, and is expected to see a 20% drop this year, with the country recovering by 12.1% in 2012.
Meanwhile the forecast for Japan will see its spend drop by 4.1% and then grow by 4.6% next year.
The forecast for spend in the US, the world’s largest market, is expected to reach $164.8 billion in 2011, an increase of 2.6%.
Advertising expenditure in newspapers was 51% larger than online advertising spend in 2010, although the report says that newspaper spend is decreasing by 1.4% each year alongside circulation decline, while online spend grows at 14.4% on average until 2013.