Digital
Transformation
Festival


16 March - 24 April 2020

Our online festival is underway with a packed programme of interviews and panels. Featuring talks from the industry’s biggest brands and most innovative individuals, this event explores what digital transformation really means for marketing.

Finished
16 Mar 10:00 GMT / 06:00 EST

The Drum Digital Transformation Festival launch

FEATURING
Gordon Young
Editor-in-chief at The Drum

Double digit growth sees global digital marketing spend close in on $100bn

Double digit growth sees global digital marketing spend closes in on $100bn

The latest estimates for global digital marketing spend indicate that the sector could be worth as much as $100bn on the back of double-digit growth in the US and UK last year which saw the sector reach $52bn.

Compiled by accountancy firm Moore Stephens, the survey was conducted in partnership with ad and media consultancy WARC, incorporating results from 800 firms across North America, Asia-Pacific and Europe.

Overall, brands in the US and UK allocated 23% of their budgets to digital marketing (martech), up from 16% just a year ago, with 63% of US technology budgets now spent in-house, rising from a 44% share last year.

These shifts have been driven by a desire among brands to target consumers directly via social media, voice assistants and search engine optimisation.

Speaking to Reuters, study author and partner Damian Ryan said: “Clearly marketers are seeking to build in-house strength and are set to spend more on martech to remain competitive. Our research finds that this budget is coming from media spend and will have a resounding impact on the value of media-centric agencies.”

The fast-changing industry is grappling with the impact of tougher data protection rules in Europe introduced in May as well as the emergence of giant one-stop-shop services for marketers, led by Adobe Systems' acquisition of e-commerce firm Magento for $1.7bn.

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