The global ad market will grow as CTV ad spending does- Data & Programmatic news in a nutshell
We have compiled the most important news from the data, online advertising and programmatic market from 4th June 2022 to 17th June 2022. Check out what happened in the last two weeks on the data & programmatic market.
Global ad market on track for 8% growth in 2022
The global ad market is expected to grow by 8 percent this year, down 1.1pp from last December's forecast. The global ad market is expected to grow by $68 billion this year - from $723 billion to $781 billion. The agency expects that due to major disruptions in Russia and its closest trading partners, ad spending across Central and Eastern Europe will decline by 26 percent, with most markets except Russia and its major trading partners achieving growth. Online video is predicted to be the fastest growing channel over the next three years: Zenith forecasts that it will grow at an average annual rate of 15.4% between 2021 and 2024, driven by the rapid growth of CTV, ad-funded VOD, streaming and other video formats. Zenith predicts that online video ad spending will grow from $62 billion in 2021 to $95 billion in 2024.
European CTV viewers embrace ad-supported platforms
CTV viewers in six European countries use an average of 3.5 streaming platforms. More than a third of them use ad-supported services. When it came to determining the preferred type of personalization for TV ads, about 37% of respondents preferred ads related to their interests. However, 62% of respondents did not want their personal information to be used for such personalization. Despite this, television advertising is still considered the most effective form of advertising. This is confirmed by 64% of respondents. Additional 37% of respondents appreciating if advertising is related to their interests.
The growing popularity of VOD platforms will open up new opportunities for marketers and advertisers. Personalization of advertising content on TV will continue to grow.
US upfront CTV ad spending will exceed $6 billion this year
The CTV advertising market has grown so much that this year's upfront spending alone will mirror what was spent on CTV in its entirety three years ago. By 2022, total ad spending on CTV in the U.S. will be $18.89 billion.
The CTV market is witnessing an upward trend since 2019. Video advertising is constantly considered the most effective form of advertising, so the trend will not lose its significance. Not surprisingly, CTV advertising spending will grow at a steady pace.