SEÑAL NEWS | RESEARCH #06

SENAL.TV LLC ∙ 990 BISCAYNE BLVD, SUITE 501, FL, 33132, USA ∙ FREE DISTRIBUTION

2021 GLOBAL ADVERTISING FORECAST

WEEK #6 ∙ FEBRUARY 2021

SPONSORED BY

2021 GLOBAL ADVERTISING FORECAST WEEK #6 ∙ FEBRUARY 2021

GLOBAL ADVERTISING INVESTMENT

BY MEDIA PLATFORMS Year-on-year % change, US$ Nominal

2020

IT WILL TAKE AT LEAST TWO YEARS FOR THE AD INDUSTRY TO FULLY RECOVER FROM LAST YEAR’S $63BN GLOBAL CUT. ADVERTISING INVESTMENT DECLINED BY 10.2% WORLDWIDE IN 2020.

2021

Social media Online video Online display Search All media Online classified TV Radio

ADVERTISING MARKET FORECAST

BY REGION

Magazines Newspapers OOH Cinema

Source: WARC Data, Global Ad Trends: State of the Industry 2020/21

GLOBAL ADVERTISING INVESTMENT

BY INDUSTRY Year-on-year % change, US$ Nominal

2020

2021

Business & Industrial Telecoms & utilities Media & publishing Financial services Pharma & healthcare Total Household & domestic Clothing & accessories Food Technology & electronics Retail Soft Drinks Leisure & entertainment Toiletries & cosmetics Automotive Alcoholic drinks Transport & tourism

REGION

2020

AFRICA

- 23.3% to $5bn

2.1%

ASIA-PACIFIC

- 9.7% to $174.4bn

8.5%

EUROPE

- 14.5% to $127 bn

10.2%

LATIN AMERICA

- 32.3% to $18.6bn

MIDDLE EAST

- 20.2% to $11.3bn

7.0%

NORTH AMERICA

- 4.3% to $221bn

3.5%

AD INVESTMENT IS FORECAST TO RISE BY 6.7% IN 2021, MEANING ONLY 59% OF LAST YEAR’S LOSSES WILL BE RECOUPED. ADVERTISING INVESTMENT WOULD NEED TO GROW BY 4.4% IN 2022 TO TOP THE PEAK RECORDED IN 2019.

THE RISE AND FALL OF THE ADVERTISING MARKET IN THE UNITED STATES

Total U.S. Advertislng Spend Forecast

Growth

2010

9%

Spending recovered with the highest growth rate since 2004.

6%

2019

Amazon became the biggest national advertiser in 2019, with Comcast in second place.

The market is expected to recover in 2021, but it is unlikely that it will retum to pre-COVID-19 levels for some time.

2021

3%

2018

Telecoms giant Comcast was the biggest national advertiser in 2018 with a total U.S. ad spend of $6.1 billion.

2000

2002

2004

2006

2008

2010

2012

2014

2016

2018

-3%

-6%

-9%

-12%

-15% Source: Group M

Flat

Source: WARC Data

Source: WARC Data, Global Ad Trends: State of the Industry 2020/21

0%

2021

2009

The Great Recession resulted in the sharpest drop recorded since the report’s inception in 1956.

2020e

Spending came to a halt as COVID-19 forced the U.S. into the deepest recession since World War II.

2020e

WITH AN ADVERTISING ECONOMY WORTH $239 BILLION IN 2019, THE UNITED STATES IS HOME TO SOME OF THE BIGGEST ADVERTISING SPENDERS IN THE WORLD. HOWEVER, THE GLOBAL COVID-19 PANDEMIC HAS RESULTED IN THE MAJOR UPHEAVAL OF ADVERTISING SPEND, AND THE MARKET IS UNLIKELY TO RECOVER FOR SOME TIME.