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Advertising Emarketer

Ad spend on digital channels set to overtake traditional mediums by 2021


By John Glenday, Reporter

May 8, 2018 | 2 min read

The latest media ad spending forecast calculates that digital channels will surpass traditional mediums as early as 2021


Ad spend on digital channels set to overtake traditional mediums by 2021

eMarketer crunched the numbers to arrive at the prediction, which begins with an estimated 7.4% increase in total media ad spending this year to $628.63bn, with digital accounting for an ever-increasing share of this total.

Over the next four years the percentage of total media ad spending in the digital realm is expected to rise from just 43.5% in 2018 to just a shade below the psychologically important 50% barrier in 2020, before finally leapfrogging traditional mediums the following year.

In a statement eMarketer wrote: “Global media spending will grow steadily at more than 5.0% per year through 2022. Despite political and economic concerns in several markets, increasing digital ad business will sustain overall advertising gains.

“North America will remain the top advertising market in 2018 at $232.48 billion and a 37.0% share of worldwide total media. Asia-Pacific will place second in regional media spend with $210.43 billion and one-third of global ad business.”

The Asia-Pacific region had been forecast to overtake ad spend in North America by 2019 but this is now expected to be delayed until 2022 owing to better than anticipated North American growth last year and a strengthening US dollar.

Digital ad spend is calculated to overtake television by the end of 2020 in Japan.

Advertising Emarketer

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