global ad trends_2014

Global Ad TrendsOctober 2014

Contents

SECTION 3

Regional Ad Trends

.– Overview

– Africa

– Asia Pacific

– Central/South America

– Europe

– Middle East

– North America

SECTION 2

Media Ad Trends

– Overview

– Newspapers

– Magazines

– TV

– Radio

– Cinema

– Out of home

– Internet

Notes on DataData Format

warc.com

SECTION 1

Global Ad Trends

Global summary

Adspend by market

Growth markets

Adspend per capita

http://www.warce.com/

Warc has conducted an annual survey of global advertising expenditure since 1980, issuing questionnaires to monitoring organisations and/or ad industry bodies in each of the 88 markets we track. The survey covers TV, newspapers, magazines, internet, radio, cinema and out of home adspend.

Where possible, Warc publishes harmonised data (net of discounts, including press classified adspend and agency commission but excluding production costs) to give a more accurate, comparable picture of each country's ad market. However, this is not possible in all cases, and data collection methods vary considerably from country to country. Please refer to the table overleaf for further detail.

References to global and regional advertising expenditure concern the total adspend within the 88 markets and five regions we monitor (see overleaf). We do not estimate or forecast markets for which we do not have a credible data partner.

PPPs measure the buying power of local currency units when spent in their domestic markets. They enable accurate international comparisons of economies and prices by removing the impact of exchange rate fluctuations. The US economy is used as the global reference point for PPPs and is set to an index value of 100.

Constant prices are volume measures whose values are calculated by applying prices from a specific base period to current quantities. This calculation produces a series of derived prices which facilitate comparisons across different periods. The base period for this report is 2005.

Notes on data

warc.com


Data format

Harmonised

AlgeriaArgentinaAustraliaAustriaBelgiumBrazilBulgariaCanada*ChileChinaColombiaCosta RicaCroatiaCyprusCzech Republic

DenmarkEstoniaFinlandFranceGermanyGreeceGuatemalaHondurasHong KongHungaryIndiaIndonesiaIrelandIsraelItaly

JapanKazakhstanKorea, Republic ofLatviaLithuaniaMacedoniaMalaysiaMaltaMexico*MoroccoNetherlandsNew ZealandNicaraguaNorwayPan Arab

PakistanPeruPhilippinesPolandPortugal RomaniaRussiaSerbiaSingaporeSlovak RepublicSloveniaSouth AfricaSpainSwedenSwitzerland

TaiwanTunisiaTurkeyUkraineUKUnited StatesVenezuelaVietnam

Rate card level

BahrainBosniaEgyptGhanaJordanKenyaKuwaitLebanonMozambiqueOmanQatarSaudi ArabiaSyria*TanzaniaThailand

UgandaUAEUruguayYemenZambia

A full list of notes and sources can be found here

Note: Pan Arab refers to multi-market bookings made in the Middle East (excluding Israel) Note: No Syrian data for 2012/13Mexican and Canadian data for 2013 are estimates

warc.com

http://www.warc.com/Pages/ForecastsAndData/NotesandSources.info


SECTION 1

Global Ad Trends2004–2013

12.5 7.0 7.0 10.2 3.1

-12.8

10.9 8.61.7 2.1

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2004 2005 2006 2007 2008 2009 2010 2011 2012 2013

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Global adspend, current prices% annual change US$ (billion)

Global adspend summary

© 2014 Warc

Global advertising expenditure rose by 2.1% in 2013 when measured in US dollars at current prices, the ninth year of growth in the last decade. This pushed the total to US$512.9 billion in 2013, which is comfortably the highest level of annual expenditure recorded.

Adspend also rose annually on a PPP basis – by 4.6% – once again reaching a record high.

However, global adspend contracted 1.0% in 2013 when measured in Euros, as the currency was hampered by a weakened exchange rate over the period.

Looking at the long–term trend, global adspend (on a US$ basis) has risen by a significant 41.7% since 2004, equating to added value of US$150.9bn.

Current prices (billion)

2004 2005 2006 2007 2008 2009 2010 2011 2012 20132013 vs 2012

% chg 2013 vs 2004

% chg

US$ 362.0 387.3 414.3 456.5 470.4 410.2 454.7 493.9 502.4 512.9 2.1% 41.7%

Euro 291.8 311.7 330.8 334.5 322.0 296.4 344.2 357.5 393.5 389.6 -1.0% 33.5%

PPP 396.6 426.2 459.4 491.0 491.6 449.7 487.9 511.1 536.4 560.9 4.6% 41.4%

10.0

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Global adspend, constant 2005 prices% annual change US$ (billion)

Global adspend summary

Global advertising expenditure fell by 0.4% to US$412.1 billion in 2013 after allowing for inflation.

The decline was more pronounced –at 3.5% – when measured in Euros at constant 2005 prices.

Only in PPP terms, with the impact of exchange rate fluctuations removed, did global adspend demonstrate annual growth in 2013 in real terms.

A rise of 2.1% marked the fourth consecutive year of growth by this measure, with expenditure matching levels last seen before the global financial crisis.

Over the last decade, global adspend has recorded growth of 10.8% on a US$ basis in real terms. This represents added value of US$40.1bn.

© 2014 Warc

Constant 2005 prices (billion)

2004 2005 2006 2007 2008 2009 2010 2011 2012 20132013 vs 2012

% chg 2013 vs 2004

% chg

US$ 372.0 387.3 402.8 431.4 425.9 367.6 397.6 417.8 413.9 412.1 -0.4% 10.8%

Euro 299.8 311.7 321.5 316.0 291.2 265.3 300.9 302.0 323.8 312.5 -3.5% 4.2%

PPP 409.3 426.2 445.2 461.0 440.0 395.9 418.6 423.0 431.4 440.3 2.1% 7.6%

Top adspend markets, US$

Current prices2013

(US$ million)2013 vs 2012

% chg

Share of regional adspend

Share of global

adspend

1 United States 158,550.5 2.4% 92.1% (91.7%) ▲ 30.9% (30.8%) ▲

2 China 44,820.6 18.2% 32.0% (27.2%) ▲ 8.7% (7.5%) ▲

3 Japan 39,827.0 -16.4% 28.4% (34.2%) ▼ 7.8% (9.5%) ▼

4 Germany 24,862.8 4.0% 17.8% (17.7%) ▲ 4.8% (4.8%) ◄

5 UK 24,526.4 3.2% 17.6% (17.6%) ◄ 4.8% (4.7%) ▲

6 Brazil 16,817.4 -0.2% 48.9% (50.1%) ▼ 3.3% (3.4%) ▼

7 France 16,685.4 0.8% 12.0% (12.2%) ▼ 3.3% (3.3%) ◄

8 Canada 13,662.7 -2.1% 7.9% (8.3%) ▼ 2.7% (2.8%) ▼

9 Australia 12,965.0 -4.9% 9.3% (9.8%) ▼ 2.5% (2.7%) ▼

10 Pan Arab 12,458.5 18.3% 64.7% (62.4%)▲ 2.4% (2.1%) ▲

11 Russia 11,223.0 6.4% 8.0% (7.8%) ▲ 2.2% (2.1%) ▲

12 Italy 9,615.1 -5.0% 6.9% (7.5%) ▼ 1.9% (2.0%) ▼

13 Republic of Korea 9,326.1 6.0% 6.7% (6.3%) ▲ 1.8% (1.8%) ◄

14 Indonesia 6,990.8 9.1% 5.0% (4.6%) ▲ 1.4% (1.3%) ▲

15 Mexico 5,741.1 10.5% 16.7% (15.4%) ▲ 1.1% (1.0%) ▲

Note: Corresponding 2012 data shown in brackets.

© 2014 Warc

Top adspend markets, PPP

Current prices2013

(PPP million)2013 vs 2012

% chg

Share of regional adspend

Share of global

adspend

1 United States 158,550.5 2.4% 93.3% (93.2%) ▲ 28.3% (28.9%) ▼

2 China 65,386.8 15.8% 36.1% (34.0%) ▲ 11.7% (10.5%) ▲

3 Japan 38,173.1 4.4% 21.1% (22.0%) ▼ 6.8% (6.8%) ◄

4 UK 23,151.8 4.2% 17.3% (16.8%) ▲ 4.1% (4.1%) ◄

5 Germany 22,108.3 0.1% 16.5% (16.7%) ▼ 3.9% (4.1%) ▼

6 Brazil 18,199.2 4.0% 42.0% (42.4%) ▼ 3.2% (3.3%) ▼

7 France 13,885.9 -2.2% 10.4% (10.8%) ▼ 2.5% (2.6%) ▼

8 Russia 13,571.8 3.7% 10.1% (9.9%) ▲ 2.4% (2.4%) ◄

9 India 12,813.6 3.5% 7.1% (7.5%) ▼ 2.3% (2.3%) ◄

10 Republic of Korea 12,721.6 2.2% 7.0% (7.5%) ▼ 2.3% (2.3%) ◄

11 Pan Arab 12,458.5 18.3% 64.6% (62.6%) ▲ 2.2% (2.0%) ▲

12 Canada 11,420.3 1.1% 6.7% (6.8%) ▼ 2.0% (2.1%) ▼

13 Indonesia 10,408.4 18.3% 5.8% (5.3%) ▲ 1.9% (1.6%) ▲

14 Australia 8,636.5 2.5% 4.8% (5.1%) ▼ 1.5% (1.6%) ▼

15 Mexico 8,405.0 6.6% 19.4% (19.1%) ▲ 1.5% (1.5%) ◄

Note: Corresponding 2012 data shown in brackets.

© 2014 Warc

Growth markets, US$

Current prices2013


% chg

1 Algeria 170.9 51.4%

2 Qatar 628.4 35.6%

3 Zambia 51.9 33.3%

4 Oman 355.3 31.2%

5 Vietnam 1,073.1 21.2%

6 Ghana 161.7 18.3%

= Pan Arab 12,458.5 18.3%

8 China 44,820.6 18.2%

9 Poland 2,747.5 15.4%

10Bosnia & Herzegovina

582.8 15.1%

11 Bulgaria 578.3 15.0%

12 Slovak Republic 1,415.6 13.4%

13 Portugal 2,844.7 12.9%

14 Ukraine 1,205.4 12.7%

15 Lebanon 517.6 11.9%

© 2014 Warc

Top growth markets, 2013 vs 2012 Top growth markets, 2013 vs 2004

Current prices2013


% chg

1 Kenya 1,096.9 937.7%

2 Qatar 628.4 575.0%

3 Pan Arab 12,458.5 541.3%

4 China 44,820.6 477.4%

5 Macedonia 256.5 440.0%

6 Uganda 201.4 421.8%

= Vietnam 1,073.1 400.0%

8 Oman 355.3 396.9%

9 Argentina 4,913.6 390.6%

10 Indonesia 6,990.8 298.4%

11 Brazil 16,817.4 263.0%

12 Ukraine 1,205.4 247.4%

13 Costa Rica 472.0 218.5%

14 Russia 11,223.0 202.5%

15 Nicaragua 114.9 199.2%

Growth markets, PPP

Current prices2013


% chg

1 Algeria 236.8 56.5%

2 Qatar 619.4 38.8%

3 Oman 419.0 36.0%

4 Zambia 59.1 31.8%

5 Indonesia 10,408.4 18.3%

= Pan Arab 12,458.5 18.3%

7 Vietnam 2,255.0 18.1%

8 Ghana 322.8 16.3%

9 China 65,386.8 15.8%

10 Bulgaria 1,145.4 14.0%

11 Poland 4,350.5 12.9%

12 Argentina 7,807.0 12.0%

=Bosnia & Herzegovina

1,049.5 12.0%

= Malaysia 4,505.1 12.0%

15 Peru 1,191.8 11.6%

© 2014 Warc

Top growth markets, 2013 vs 2012 Top growth markets, 2013 vs 2004

Current prices2013


% chg

1 Kenya 1,955.3 562.6%

2 Pan Arab 12,458.5 541.3%

3 Macedonia 566.7 359.2%

4 Qatar 619.4 309.4%

5 Uganda 477.5 304.3%

6 China 65,386.8 246.3%

7 Argentina 7,807.0 220.0%

8 Oman 419.0 209.2%

9 Vietnam 2,255.0 198.5%

10 Slovak Republic 1,967.1 181.3%

11 Hong Kong 7,643.4 175.7%

12 Nicaragua 284.2 154.2%

13 Indonesia 10,408.4 134.3%

14 Tanzania 208.1 129.2%

15 Costa Rica 585.5 114.9%

Adspend Per Capita

2013,

Current prices

Adspend per capita, US$

Hong Kong 756.0

Australia 558.7

Norway 512.7

Switzerland 507.8

United States 501.2

Austria 496.6

Sweden 406.3

New Zealand 395.7

Canada 389.2

Denmark 386.5

UK 382.7

Uruguay 354.4

Finland 324.3

Japan 312.8

Belgium 312.2

2004,

Current prices

Adspend per capita, US$

United States 524.0

UK 415.2

Switzerland 393.8

Australia 373.5

Ireland 359.8

Norway 355.1

Austria 324.9

New Zealand 320.8

Denmark 313.0

Hong Kong 308.1

Sweden 300.7

Finland 296.0

Japan 294.5

Belgium 268.0

Netherlands 261.3

2013,

Current prices

Adspend per capita, PPP

Hong Kong 1,055.1

United States 501.2

Austria 432.4

Australia 372.2

Slovak Republic

363.5

UK 361.3

Uruguay 356.8

Singapore 341.7

Canada 325.3

Qatar 306.6

Japan 299.8

New Zealand 298.2

Portugal 296.9

Pakistan 295.9

Switzerland 289.8

2004,

Current prices

Adspend per capita, PPP

Unites States 524.0

Hong Kong 407.9

Australia 371.5

UK 346.1

Singapore 326.8

Uruguay 315.9

New Zealand 313.9

Austria 296.7

Norway 285.0

Ireland 284.6

Switzerland 274.6

Canada 268.1

Bahrain 261.7

Portugal 245.6

Finland 239.1

© 2014 Warc

Adspend per capita, US$ current prices Adspend per capita, PPP current prices

SECTION 2

Media Ad Trends2004–2013

Media Overview

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Global adspend by medium, current pricesNewspapers Magazines Television Radio Cinema Outdoor Internet

414.3456.5 470.4

410.2454.7

493.9

362.0

502.4 512.9

© 2014 Warc

Global adspend reached US$512.9bn in 2013, an annual increase of 2.1% compared with 2012. If we look at the data in the longer term, global adspend has risen by a significant 41.7% over the last ten years. During this time, there have been major shifts in the allocation of advertising budgets by media channel.

TV remains the biggest advertising medium globally with a 40.8% share of total adspend, having recorded overall spend of US$209.5bn in 2013. The channel has registered significant growth of 55.7% since 2004. Over the same period, internet advertising spend has grown from US$15.5bn in 2004 to US$120.4bn in 2013, an increase of 674.7%. This equates to a ten year rise in share of global adspend from 4.3% in 2004 to 23.5% in 2013.

387.3

Long–term trends in share of global adspend by medium

Current prices, US$ billion

2004 2005 2006 2007 2008 2009 2010 2011 2012 20132013 vs

2012 2013 vs

2004

Newspapers 114.2 118.0 120.0 124.3 118.2 94.5 96.6 98.0 89.9 83.3 -7.4% -27.1%

Magazines 43.3 46.3 48.1 51.4 51.0 38.6 39.0 39.6 35.6 33.1 -7.1% -23.5%

Television 134.5 142.3 150.9 166.9 176.5 160.5 185.8 201.3 207.4 209.5 1.0% 55.7%

Radio 32.3 33.3 34.2 36.0 35.2 30.0 32.4 33.6 34.0 34.0 -0.2% 5.2%

Cinema 1.6 1.7 1.8 2.2 2.2 2.0 2.3 2.5 2.5 2.5 -1.7% 56.4%

Out of home 20.6 23.2 24.7 27.8 29.6 26.0 27.6 29.8 30.4 30.2 -0.6% 46.5%

Internet 15.5 22.5 34.6 47.9 57.7 58.4 71.1 89.1 102.5 120.4 17.5% 674.7%

31.5%

12.0%

37.2%

8.9%0.4%

5.7%

4.3%

2004

16.2%

6.5%

40.8%

6.6%0.5%

5.9%

23.5%

2013

Share of global adspend by medium

Media Overview

Current prices,US$ billion

2004 2005 2006 2007 2008 2009 2010 2011 2012 20132013 vs

2012 2013 vs

2004

Newspapers 31.5% 30.5% 29.0% 27.2% 25.1% 23.0% 21.2% 19.8% 17.9% 16.2% -1.7pp -15.3pp

Magazines 12.0% 12.0% 11.6% 11.3% 10.8% 9.4% 8.6% 8.0% 7.1% 6.5% -0.6pp -5.5pp

Television 37.2% 36.7% 36.4% 36.6% 37.5% 39.1% 40.9% 40.8% 41.3% 40.8% -0.5pp 3.6pp

Radio 8.9% 8.6% 8.2% 7.9% 7.5% 7.3% 7.1% 6.8% 6.8% 6.6% -0.2pp -2.0pp

Cinema 0.4% 0.4% 0.4% 0.5% 0.5% 0.5% 0.5% 0.5% 0.5% 0.5% 0.0pp 0.1pp

Out of home 5.7% 6.0% 6.0% 6.1% 6.3% 6.3% 6.1% 6.0% 6.1% 5.9% -0.2pp 0.2pp

Internet 4.3% 5.8% 8.4% 10.5% 12.3% 14.3% 15.6% 18.0% 20.4% 23.5% 3.1pp 17.7pp

© 2014 Warc

US$512.9bn

US$362.0bn

Long–term trends in share of global adspend by medium

This rapid expansion for internet has come at the expense of the print sector – inclusive of both newspapers and magazines – which has seen total advertising spend fall by US$41.1bn over the last ten years, to just US$116.4bn. The combined print total is now lower than that for internet. Both newspapers and magazines have seen their shares of total global adspend roughly halve since 2004.

Both out of home and cinema have maintained their overall shares of global adspend since 2004, with marginal increases of 0.2pp and 0.1pp respectively. Out of home accounted for total spend of US$30.2bn in 2013, while cinema – the smallest advertising channel measured –registered just US$2.5bn. Radio, with adspend of US$34.0bn in 2013, has seen a decline of 2.0pp overall from 2004.

Newspaper adspend

© 2014 Warc

Current prices2013


% chg 2013 vs 2004

% chg

1 United States 18,083.3 -8.2% -61.3%

2 Germany 7071.3 -4.2% -18.5%

3 China 5885.2 -9.9% 111.2%

4 Japan 5817.3 -19.2% -35.5%

5 United Kingdom 3807.8 -9.2% -59.3%

6 Canada 3019.5 -13.9% 5.7%

7 Australia 2434.1 -22.4% -13.2%

8 France 2352.4 -3.8% -33.7%

9 Indonesia 2240.9 0.0% 374.2%

10 Republic of Korea 2188.9 -3.8% -15.9%

11 India 1977.9 -2.0% 132.2%

12 Hong Kong 1704.4 8.8% 120.1%

13 Austria 1676.0 5.5% 44.3%

14 Argentina 1541.2 1.3% 306.6%

15 Brazil 1509.7 -12.9% 90.7%

16 Malaysia 1237.8 10.6% 107.3%

17 Italy 1192.7 -16.8% -44.2%

18 Switzerland 1113.4 -9.5% -15.5%

19 Netherlands 1086.4 -0.3% -39.3%

20 Sweden 1061.7 -5.0% -24.5%

Top markets by newspaper adspend

Over the course of the last ten years, newspapers’ share of global adspend has halved – dipping from 31.5% of the total in 2004 to just 16.2% in 2013. Back in 1980, when Warc first started measuring international adspend data, newspapers had a 45.5% share of global ad revenues.

Newspapers recorded US$83.3bn in adspend last year, following a decline of 7.4% from 2012. All regions bar the Middle East recorded dips in spend in 2013. Despite an overall fall of 31.9% over the last ten years, Europe accounts for the biggest share of global newspaper adspend, on US$26.3bn. North America has also seen a significant long term decline in spend, dropping 57.4% since 2004 to US$21.1bn. Asia Pacific, by contrast, has recorded ten-year growth of 18.4%, and is now the second biggest spending region, on US$25.8bn.

The US is by far the biggest individual market for newspapers, grossing US$18.1bn in adspend in 2013, but like many established markets has recorded steep overall losses – down 61.3% since 2004.

Emerging markets, however, continue to record strong increases in spend for the medium. Qatar and Oman have both seen newspaper advertising spend rise in excess of 500% since 2004, to reach US$517.4m and US$331.2m in 2013 respectively.

7.2

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Adspend, US$ constant 2005 pricesAnnual % change US$ (billion)

Share of adspend by global regionAfrica Asia Pacific Central & South America Europe Middle East North America

2004 2013

US$83.3bn

0.8%

19.1%

1.3%

33.8%

1.6%

43.4%

Note: Number of measured markets shown in brackets

Current prices2013(US$

million)

2013 vs 2012

% chg

2013 vs 2004

% chg

1 Qatar 517.4 43.6% 522.6%

2 Ghana 16.0 39.2% –

3 Morocco 88.1 37.3% –

4 Oman 331.2 37.3% 521.4%

5 Colombia 341.8 29.1% –

6 Nicaragua 18.4 25.0% 8.9%

7 Kenya 119.1 14.5% 287.9%

8 Algeria 36.1 14.4% –

9 Slovak Republic 73.2 13.2% 63.8%

10 Bahrain 67.5 12.5% 19.7%


million)

2013 vs 2012

% chg

2013 vs 2004

% chg

Africa 1,455.3 -13.4% 63.5%

Asia Pacific 25,830.9 -9.0% 18.4%

C/S America 4,919.5 -5.8% 220.9%

Europe 26,268.3 -6.0% -31.9%

Middle East 3,678.7 7.5% 104.8%

North America 21,102.8 -9.1% -57.4%

Global 83,255.4 -7.4% -27.1%

© 2014 Warc

Newspaper adspend

Newspaper adspend by global region

(38) (46)(45)

Top markets by annual growth, 2013

US$114.2bn

(45) (46) (48)

(73)

(51) (51)

(86)(78) (79) (87)(85)(83)(87)

(86) (86)

1.7%

31.0%

5.9%

31.6%

4.4%

25.3%

Magazine adspend

© 2014 Warc

Current prices2013


% chg 2013 vs 2004

% chg

1 United States 12,033.6 -5.1% -30.5%

2 Germany 3,050.0 2.6% -16.2%

3 Japan 2,356.1 -19.9% -30.2%

4 France 1,998.6 -7.1% -32.5%

5 United Kingdom 1,228.6 -10.2% -64.7%

6 Canada 986,4 -5.4% 9.0%

7 Brazil 824.0 -16.4% 108.1%

8 China 713.9 -5.7% 189.7%

9 Hong Kong 713.2 0.7% 122.9%

10 Italy 702.0 -21.4% -57.3%

11 Russia 671.5 -10.8% 45.7%

12 Australia 661.1 -14.3% -8.2%

13 Switzerland 629.0 -6.2% 19.4%

14 Netherlands 550.5 -1.8% -42.1%

15 Austria 408.7 0.3% -16.3%

16 Spain 337.1 -16.4% -59.1%

17 Pan Arab 288.3 -8.6% 94.5%

18 Sweden 276.3 -3.3% -12.7%

19 South Africa 271.2 -15.9% 2.3%

20 Republic of Korea 267.0 -5.9% 26.1%

Top markets by magazine adspend

Similarly to newspapers, the magazine sector has seen its share of total global advertising expenditure shrink by almost half in the ten years from 2004. Magazines represented just 6.5% of total adspend in 2013, or US$33.1bn, following a year-on-year decline of 7.1% from 2012.

Historically, North America and Europe have accounted for the biggest proportion of magazine advertising spend and, despite gains in share for other regions in recent years, still represent a combined share of 75% of spend – or US$13.0bn and US$11.9bn respectively. It therefore follows that the US, with US$12.0bn in magazine adspend, and Germany (US$3.1bn) are the two biggest spending markets, followed by Japan, France and the UK. The top five markets have all seen magazine spend decline in both the short and long term. More positively, Brazil, China and Hong Kong – amongst the top ten magazine markets – have all seen magazine adspend more than double since 2004.

Nicaragua recorded the sharpest year-on-year increase in magazine adspend in 2013, rising by 53.4% to US$2.7m. Morocco followed, with expenditure growing 37.3% annually to record US$37.3m, while Kenya was the third-fastest growth market, after an annual rise of 22.9% put magazine adspend at US$9.6m.

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2004 2013

US$33.1bn

1.0%

17.2%

4.3%

35.9%

2.3%

39.3%0.7%

13.1%

1.2%

41.9%

1.1%

42.1%



million)

2013 vs 2012

% chg

2013 vs 2004

% chg

1 Nicaragua 92.0 53.4% 1,250.0%

2 Morocco 33.5 37.3% –

3 Kenya 143.4 22.9% 255.6%

4 Chile 20.7 14.7% 48.1%

5 Algeria 1,002.9 14.4% –

= Latvia 682.8 14.4% -23.5%

7 Estonia 465.4 12.2% 32.7%

8 Poland 1,339.5 11.4% -6.4%

9 Peru 1,949.4 7.7% –

10 Oman 309.0 7.2% 61.4%


million)

2013 vs 2012

% chg

2013 vs 2004

% chg

Africa 322.0 -13.7% 8.3%

Asia Pacific 5,682.9 -12.4% 0.6%

C/S America 1,421.7 -11.8% 184.7%

Europe 11,879.3 -5.8% -34.4%

Middle East 767.0 -5.5% 60.5%

North America 13,020.1 -5.1% -28.6%

Global 33,093.0 -7.1% -23.5%

© 2014 Warc

Magazine adspend

Magazine adspend by global region

(38) (46)(45)


US$43.3bn

(71) (83)(76) (77)

(83)

(82)(80)

(83)

(82) (82)

Television adspend

© 2014 Warc

Current prices2013


% chg 2013 vs 2004

% chg

1 United States 63,377.0 -0.6% 18.2%

2 Japan 17,350.7 -17.1% -0.5%

3 China 15,832.5 8.6% 351.2%

4 Pan Arab 12,159.7 19.2% 591.0%

5 Brazil 10,653.5 -0.2% 265.0%

6 United Kingdom 6,973.4 1.7% -6.8%

7 Germany 6,024.8 5.6% 14.3%

8 Russia 5,399.7 5.7% 240.8%

9 France 4,765.5 -0.3% 5.4%

10 Italy 4,682.7 -7.0% -17.1%

11 Indonesia 4,586.8 15.2% 285.2%

12 Australia 4,245.2 -4.2% 60.7%

13 Canada 3,866.5 -5.2% 44.4%

14 Mexico 3,490.7 9.3% –

15 Republic of Korea 3,456.7 1.9% 100.3%

16 Argentina 2,305.0 13.3% 422.8%

17 Spain 2,261.7 -3.0% -31.8%

18 Thailand 2,253.8 2.9% 92.2%

19 South Africa 2,198.0 -11.6% 154.6%

20 Portugal 1,949.4 19.9% 42.8%

Top markets by television adspend

Since overtaking newspapers in 2001, TV has been the biggest advertising medium globally and accounted for 40.8% of total spend in 2013, equivalent to US$209.5bn. It recorded an annual increase of 1.0% last year compared with 2012. Despite predictions that internet spend will supersede all traditional media in future, the data show us that TV is also a growing channel globally – its share of total adspend has increased 3.6pp from ten years ago.

With total TV adspend of US$67.2bn (or a 32.1% share), North America attracts the greatest regional spend, followed by Asia Pacific on US$57.8bn (27.6%) and Europe on US$47.1bn (22.5%). While emerging markets are driving growth, as can be seen in the 380.2% increase experienced by Asia Pacific over the last ten years, it is significant that all global regions recorded increases of around 20% and above based on this timeframe. As would be expected, the US is the biggest TV market with U$63.4bn in advertising revenues, almost four times the amount recorded by Japan in second place, on US$17.4bn.

The greatest year-on-year increases in TV advertising spend were recorded in Africa, with Algeria rising 104.3% to US$92.0m, and Zambia’s revenues accelerating 59.1% to US$33.5m.

11.9

2.9 2.9

7.3

1.0

-10.3

12.6

4.7

0.1

-1.9

0

20

40

60

80

100

120

140

160

180

-15.0

-10.0

-5.0

0.0

5.0

10.0

15.0

2004 2005 2006 2007 2008 2009 2010 2011 2012 2013

US

$ b

illion

An

nu

al %

ch

an

ge



2004 2013

US$209.5bn

0.8%

23.7%

3.1%

28.7%

1.8%

41.9%



million)

2013 vs 2012

% chg

2013 vs 2004

% chg

1 Algeria 92.0 104.3% –

2 Zambia 33.5 59.1% –

3 Slovenia 143.4 46.3% 119.6%

4 Qatar 20.7 36.9% 176.0%

5 Vietnam 1,002.9 26.4% 587.4%

6 Greece 682.8 25.8% -24.9%

7 Bulgaria 465.4 21.9% 180.7%

8 Poland 1,339.5 20.9% 68.7%

9 Hungary 1,949.4 19.9% 42.8%

= Portugal 309.0 19.9% 68.4%


million)

2013 vs 2012

% chg

2013 vs 2004

% chg

Africa 3,437.2 -11.5% 225.1%

Asia Pacific 57,808.4 -2.1% 81.6%

C/S America 20,159.6 2.9% 380.2%

Europe 47,148.5 3.8% 22.0%

Middle East 13,694.8 18.0% 454.2%

North America 67,243.6 -0.9% 19.4%

Global 209,492.2 1.0% 55.7%

© 2014 Warc

Television adspend

Television adspend by global region

(38) (46)(45)


US$134.5bn

(45) (46) (48)

(74)

(79)

(51) (51)(87)

(82)

(79) (80) (88)(86)

1.6%

27.6%

9.6%

22.5%

6.5%

32.1%

(84) (88) (87) (87)

Radio adspend

© 2014 Warc

Current prices2013


% chg 2013 vs 2004

% chg

1 United States 15,265.3 -1.2% -25.9%

2 China 2,185.0 11.8% 449.3%

3 Canada 1,666.9 0.0% 72.5%

4 Japan 1,159.2 -18.4% -23.2%

5 Australia 1,090.6 -5.4% 60.2%

6 Germany 1,089.7 7.1% 29.1%

7 France 1,089.6 2.9% -4.7%

8 United Kingdom 838.6 -4.0% -28.6%

9 South Africa 697.0 -8.3% 133.3%

10 Brazil 605.6 -0.1% 195.0%

11 Russia 570.4 9.5% 137.2%

12 Spain 535.9 -8.0% -20.1%

13 Mexico 532.9 8.8% –

14 Kenya 517.9 -3.4% 976.7%

15 Belgium 482.7 7.5% 71.0%

16 Italy 468.6 -6.3% -5.7%

17 Netherlands 318.7 6.9% 2.7%

18 Colombia 289.1 7.5% –

19 Austria 240.5 4.3% 17.9%

20 Philippines 221.6 3.8% 218.8%

Top markets by radio adspend

While advertising spend on radio has remained largely consistent in terms of value over the last ten years – it accounted for US$34.0bn in 2013 compared with US$32.3bn in 2004 – its share of total global adspend has decreased. The medium now accounts for just 6.6% of global ad revenues, having peaked at 9.7% in 2002.

Of the six global regions measured, four saw radio record year-on-year declines in 2013, with just Central and South America (2.4%) and Europe (2.0%) recording net increases. North America is by far the largest global spender, amassing just under 50% of all revenues, equivalent to US$16.9bn. However, the channel has recorded a long term decline in spend in the region, having dropped by 21.5% since 2004. By contrast, Europe, the second biggest radio region with US$7.1bn in advertising spend last year, has recorded long term growth – rising by 10.2% since 2004.

Despite a decline in advertising spend of 25.9% over the last ten years, the US remains by far the biggest individual market for radio advertising on US$15.3bn in 2013. The US radio market is seven times the size of that of China, the next biggest spender on US$2.2bn. In third position is Canada with spend of US$1.7bn. In terms of fastest growth markets in 2013, Mozambique saw year-on-year radio adspend rise 78.8% to US$6.3m.


2004 2013

US$34.0bn

5.1%

17.8%

5.9%

20.9%

0.5%

49.9%

4.9

0.1

-0.4

2.4

-6.1

-15.6

5.2

0.5

-1.8 -2.2

0

5

10

15

20

25

30

35

40

-20

-15

-10

-5

0

5

10

2004 2005 2006 2007 2008 2009 2010 2011 2012 2013

US

$ b

illion

An

nu

al %

ch

an

ge


(74) (79)

1.3%10.7%

1.0%

20.0%0.4%

66.8%



million)

2013 vs 2012

% chg

2013 vs 2004

% chg

1 Mozambique 6.3 78.8% –

2 Algeria 12.4 69.5% –

3 Ghana 74.8 31.3% –

= Vietnam 1.4 30.5% 180.0%

5 Qatar 7.1 25.1% 1,083.3%

6 Lebanon 5.3 22.7% -72.1%

7 Romania 84.0 21.9% 163.3%

8 Morocco 129.4 19.8% –

9 Bahrain 1.9 19.6% 137.5%

10 Latvia 11.3 18.2% 3.7%


million)

2013 vs 2012

% chg

2013 vs 2004

% chg

Africa 1,718.4 -3.2% 319.3%

Asia Pacific 6,036.4 -0.3% 75.5%

C/S America 1,998.1 2.4% 528.1%

Europe 7,103.4 2.0% 10.2%

Middle East 176.9 -6.9% 54.2%

North America 16,932.1 -1.1% -21.5%

Global 33,965.3 -0.2% 5.2%

© 2014 Warc

Radio adspend

Radio adspend by global region

(38) (46)(45)


US$32.3bn

(45) (46) (48)

(69) (79)

(51) (51)

(80) (82)(75) (79) (82) (82)

Cinema adspend

© 2014 Warc

US$ million, current prices

20132013 vs 2012

% chg 2013 vs 2004

% chg

1 United States 753.3 0.7% 86.4%

2 United Kingdom 287.7 -15.4% -1.9%

3 Thailand 244.7 -3.8% 637.0%

4 France 134.7 -10.4% 45.2%

5 Germany 117.0 -6.4% -41.6%

6 Australia 108.2 6.8% 80.3%

7 Mexico 82.2 4.1% –

8 Argentina 61.5 2.3% 312.8%

9 South Africa 50.9 45.8% 29.5%

10 Brazil 47.9 -11.5% 195.7%

11 Russia 44.9 13.5% 172.1%

12 UAE 42.4 48.3% 450.6%

13 Republic of Korea 42.0 6.0% 28.0%

14 Belgium 40.0 11.3% 42.9%

15 Poland 39.4 18.6% 392.5%

16 Italy 39.0 -19.8% -65.3%

17 India 35.7 -1.5% 202.5%

18 Turkey 30.2 0.0% 89.9%

19 Venezuela 29.8 -15.1% –

20 Switzerland 28.1 -12.3% -14.8%

Top markets by Cinema adspend

Cinema is historically the smallest medium for adspend, however data for all markets are not readily available (51 of the total 88 markets were measured in 2013). Advertising expenditure on the silver screen totalled US$2.5bn, a 0.5% share of the global all-media total. While this marked a decline in adspend of 1.7% against 2012, it also represented a long-term increase of US$1bn (+56.4%) from 2004.

The largest share of 2013 expenditure was seen in Europe, at 37.2% –US$928.8m. Europe has long been the biggest spending region for cinematic advertising, however its share of global expenditure has eroded 22.1pp since 2004. Conversely, the second-largest region, North America, has seen it’s share grow 4.9pp over the same period, with expenditure totalling US$753.3m in 2013. Asia Pacific, currently third largest in terms of adspend, is the region to gain most share over the last ten years, accounting for 18.4% of 2013 expenditure compared with 9.7% in 2004 (+8.7pp).

The US is the largest national market globally with US$753.3m in advertising revenues: an annual growth of 0.7% and a 86.4% increase from 2004. The UK ranks second, on US$287.7, despite a 15.4% fall from 2012. Rapid growth in Thailand put the market third, though the data for the market are at rate card level.

20.8

5.5

2.4

16.0

-4.6-7.6

9.7

2.7

-0.1

-4.2

0.0

0.5

1.0

1.5

2.0

2.5

-10

-5

0

5

10

15

20

25

2004 2005 2006 2007 2008 2009 2010 2011 2012 2013

US

$ b

illion

An

nu

al %

ch

an

ge



2004 2013

US$2.5bn

2.6%

9.7%

2.1%

59.3%

1.0%25.3%



million)

2013 vs 2012

% chg

2013 vs 2004

% chg

1 Lithuania 0.7 75.6% 600.0%

2 Morocco 4.2 54.8% –

3 UAE 42.4 48.3% 450.6%

= South Africa 50.9 45.8% 29.5%

5 Finland 4.1 37.8% 46.4%

6 Denmark 14.2 23.1% 67.1%

7 Ireland 9.2 19.2% -26.4%

8 Poland 39.4 18.6% 392.5%

9 New Zealand 6.6 15.7% -23.3%

10 Israel 11.9 14.8% 98.3%


million)

2013 vs 2012

% chg

2013 vs 2004

% chg

Africa 55.5 45.8% 32.1%

Asia Pacific 458.9 0.2% 196.3%

C/S America 244.3 -2.5% 638.1%

Europe 928.8 -7.5% -1.9%

Middle East 57.4 36.5% 258.8%

North America 753.3 0.7% 86.4%

Global 2,498.1 -1.7% 56.4%

© 2014 Warc

Cinema adspend

Cinema adspend by global region


US$1.6bn

(45) (47) (46) (48) (49) (51) (51) (51)

2.2%

18.4%

9.8%37.2%

2.3%

30.2%

(51) (51)

Out of home adspend

© 2014 Warc

Current prices2013


% chg 2013 vs 2004

% chg

1 United States 6,256.9 4.7% 14.4%

2 Japan 5,761.9 -15.6% 14.7%

3 China 2,450.0 13.1% 311.3%

4 France 1,705.5 1.7% 1.5%

5 United Kingdom 1,546.3 0.9% -0.4%

6 Russia 1,407.0 4.6% 119.4%

7 Germany 1,301.6 6.1% 32.3%

8 Hong Kong 752.6 15.3% 759.1%

9 Switzerland 609.6 0.8% 43.8%

10 Australia 577.4 1.0% 118.2%

11 Canada 573.8 0.2% 109.8%

12 Republic of Korea 540.5 9.1% 184.8%

13 Brazil 514.7 10.2% 124.2%

14 Mexico 445.1 4.1% –

15 Spain 374.4 -10.7% -36.4%

16 Thailand 334.9 1.8% 242.1%

17 India 302.8 -1.2% 79.4%

18 Saudi Arabia 288.9 12.1% 426.2%

19 Austria 279.9 1.6% 67.0%

20 Italy 272.9 -2.9% 14.4%

Top markets by out of home adspend

Including roadside, transport and in-store, out of home advertising expenditure accounted for a 5.9% share of total global adspend in 2013. The channel recorded a marginal year-on-year decline in spend of 0.6% to record a total value of £30.2bn. Despite this dip, out of home has performed well over the last ten years, maintaining its share of the total market, which is up by 0.2pp from 2004. New digital formats have enabled the channel to further diversify and attract new advertisers.

The biggest region for out of home advertising is Asia Pacific, it takes a 36.6% share of total OOH spend, followed by Europe (31.7%), and then North America, which is less reliant on the medium on 22.6%. However, the US remains the biggest individual OOH market with spend of US$6.3bn in 2013, representative of an increase of 4.7% from the previous year. Japan is the second biggest market with annual spend of US$5.8bn, despite a decline of 15.6% from the previous year. China (US$2.5bn) is the third biggest spender on OOH, with total growth in excess of 300% over the last ten years.

Looking at markets in terms of annual growth in 2013, Singapore saw the most rapid increase, rising 30.7% to reach US$108.2m.

10.1 9.7

4.1

9.3

2.0

-12.4

4.2 5.1

-0.3

-3.3

0

5

10

15

20

25

30

-15

-10

-5

0

5

10

15

2004 2005 2006 2007 2008 2009 2010 2011 2012 2013

US

$ b

illion

An

nu

al %

ch

an

ge



2004 2013

US$30.2bn

1.4%

36.6%

5.4%

31.7%

2.3%22.6%


0.5%

31.6%

1.7%

37.5%

0.9% 27.8%


million)

2013 vs 2012

% chg

2013 vs 2004

% chg

1 Singapore 108.2 30.7% 271.8%

2 Latvia 10.1 17.0% 71.2%

3 Estonia 10.4 15.3% 181.1%

= Hong Kong 752.6 15.3% 759.1%

5 Ireland 114.2 15.1% -8.5%

6 New Zealand 62.3 14.8% 84.3%

7 Israel 51.5 14.2% 56.1%

8 China 2,450.0 13.1% 311.3%

9 Saudi Arabia 288.9 12.1% 426.2%

10 Lebanon 49.7 10.9% 30.4%


million)

2013 vs 2012

% chg

2013 vs 2004

% chg

Africa 420.3 -23.2% 328.4%

Asia Pacific 11,054.6 -5.1% 69.8%

C/S America 1,627.9 3.6% 368.7%

Europe 9,578.0 1.5% 23.9%

Middle East 709.7 8.9% 267.5%

North America 6,830.8 4.3% 19.0%

Global 30,221.5 -0.6% 46.5%

© 2014 Warc

Out of home adspend

Out of home adspend by global region


US$20.6bn

(58) (62) (63) (64) (64) (68) (67) (68) (68) (67)

Internet adspend

© 2014 Warc

Current prices2013


% chg 2013 vs 2004

% chg

1 United States 42,781.0 17.0% 344.3%

2 China 17,754.1 48.8% 7,752.3%

3 United Kingdom 9,844.1 14.4% 551.4%

4 Japan 7,381.8 -11.1% 492.2%

5 Germany 6,208.5 13.6% 1,577.5%

6 France 4,639.1 8.0% 1,772.1%

7 Australia 3,848.5 11.2% 1,126.0%

8 Canada 3,549.6 15.0% 1,168.6%

9 Brazil 2,662.0 13.8% 3,388.9%

10 Republic of Korea 2,655.4 23.5% 375.2%

11 Russia 2,454.3 23.1% 4,496.1%

12 Italy 2,257.2 16.9% 1,465.3%

13 Netherlands 1,741.7 13.1% 2,026.6%

14 Sweden 1,268.4 14.8% 547.5%

15 Spain 1,196.3 2.2% 918.1%

16 Norway 942.7 18.7% 883.0%

17 Denmark 834.3 10.2% 759.2%

18 Poland 728.1 14.7% 2,959.2%

19 Switzerland 702.0 13.4% 2,912.9%

20 Turkey 701.7 28.3% –

Top markets by internet adspend

Internet advertising expenditure accounted for just under a quarter of total global ad revenue in 2013, taking a share of 23.5%, or US$120.4bn, following growth of 17.5% from the previous year. Its expansion over the last ten years has been dramatic: the channel generated just 4.3% of global adspend in 2004, equivalent to US$15.5bn. It is now the second biggest medium behind TV (40.8% share in 2013), having overtaken newspapers in 2012.

Looking at the data by global region, North America accounts for the biggest proportion of internet advertising spend (38.5%), followed by Europe (30.3%) and Asia Pacific (27.6%). As would be expected, the US ad market dominates – with the country’s total adspend on the medium amounting to US$42.8bn in 2013, up 17.0% compared with 2012. The internet ad market in China has grown rapidly in recent years to rank as the second biggest spending country on US$17.8bn (up 48.8% year-on-year). In third place is the UK with spend of US$9.8bn. The country punches above its weight when it comes to online adspend, as it is only ranked fifth in terms of biggest global markets across all media.

In terms of growth markets, Macedonia (+72.0%) and Ukraine (+53.4%) recorded the biggest annual increases in 2013, followed by China.


0.1%

27.6%

3.3%

30.3%

0.2%

38.5%


2004 2013

US$120.4bn

0.1%

15.4%

0.6%

19.9%

0.2%

63.7%

US$15.5bn

37.840.8

50.2

35.0

16.3

0.7

19.1 21.0

12.214.6

0

20

40

60

80

100

120

0

10

20

30

40

50

60

2004 2005 2006 2007 2008 2009 2010 2011 2012 2013

US

$ b

illion

An

nu

al %

ch

an

ge


(55)(50) (52) (56) (56) (56) (56)


million)

2013 vs 2012

% chg

2013 vs 2004

% chg

1 Macedonia 1.9 72.0% –

2 Ukraine 137.9 53.4% 9,093.3%

3 China 17,754.1 48.8% 7,752.3%

4 Greece 171.3 41.8% 907.6%

5 Mexico 673.7 38.7% –

6 Ireland 261.6 31.1% –

7 New Zealand 386.3 30.3% 3,802.0%

8 Singapore 176.6 29.8% –

9 Turkey 701.7 28.3% –

10 Malaysia 118.2 27.4% –


million)

2013 vs 2012

% chg

2013 vs 2004

% chg

Africa 109.9 4.6% 514.0%

Asia Pacific 33,262.8 22.6% 1,285.1%

C/S America 4,006.0 16.7% 4,351.1%

Europe 36,523.8 14.1% 1,077.9%

Middle East 182.8 23.0% 603.1%

North America 46,330.6 16.8% 367.6%

Global 120,415.9 17.5% 674.7%

Note: Internet adspend is not widely measured in the Middle East currently

© 2014 Warc

Internet adspend

Internet adspend by global region

(38) (46)(45)


SECTION 3

Regional Ad Trends2004–2013

0.8%

19.8%

1.9%

31.4%

1.4%

44.7%

1.5%

27.3%

6.7%

27.2%

3.8%

33.6%

0

50

100

150

200

1980 1985 1990 1995 2000 2005 2010

US

$ (

Billio

n)

Long–term adspend by region, US$ current pricesAfrica Asia Pacific Central & South America Europe Middle East North America

Regional Overview

US$512.9bn

US$396.6bn

Share of global adspend by region, US$ current prices

Global adspend reached US$512.9bn in 2013, an annual increase of 2.1% compared with 2012. Within this, North America has consistently accounted for the biggest share of spend, registering 33.6% of global expenditure in 2013, or US$172.2bn. This is almost entirely due to the vast US advertising market which dominates global advertising. At US$158.6bn last year, the US is almost four times the size of that of China, the second biggest market, on US$44.8bn.

Historically, Europe has traditionally been the second biggest grossing region in terms of global adspend, boosted by well-established markets in Germany, the UK and France. However, 2012 saw Asia Pacific, powered by rapid growth in the Chinese ad market, overtake Europe for the first time. Asia Pacific took a 27.3% share of global adspend, equivalent to US$140.1bn, with Europe marginally smaller with a 27.2% share (US$139.4bn). A number of the larger European ad markets have seen consistent dips in spend, with the region’s economies struggling to cope with austerity measures following the global financial crash and consequent problems in the Eurozone.

By comparison, the three remaining global regions account for just 12% of global adspend between them, although this is a significantly higher proportion than the 4.1% recorded ten years ago. Of these, Central and South America registered the largest share on 6.7%, or US$34.4bn, followed by the Middle East on 3.8% (US$19.3bn) and Africa on 1.5% (US$7.5bn).2004 2013

© 2014 Warc

Long–term adspend by region, US$ current prices

Current prices, US$ million

Africa Asia PacificCentral/South

AmericaEurope Middle East North America Global

2004 2,812.7 71,809.4 7,018.9 113,572.6 5,095.1 161,699.2 362,008.0

2005 3,595.1 78,752.6 9,654.7 120,264.9 5,731.9 169,345.3 387,344.6

2006 4,252.9 81,778.2 11,605.3 132,292.7 6,751.6 177,652.2 414,332.8

2007 4,974.0 89,118.1 18,856.1 156,129.8 8,024.2 179,371.8 456,473.9

2008 5,468.3 97,860.4 22,763.0 163,211.0 8,862.6 171,281.1 470,446.3

2009 5,460.1 96,193.2 23,777.7 129,862.2 10,660.6 144,209.3 410,163.1

2010 7,305.1 112,796.1 30,157.2 135,201.9 13,219.8 156,068.2 454,748.3

2011 7,336.9 130,428.3 33,623.6 146,506.5 14,388.8 161,598.0 493,882.2

2012 8,404.8 139,208.7 33,638.4 135,382.6 16,870.2 168,854.9 502,359.7

2013 7,518.6 140,135.1 34,377.0 139,430.0 19,267.3 172,213.2 512,941.3

Note: Care should be taken when comparing growth due to the addition of new markets.

Market additions2005: US$711.7m Algeria (US$69.7m), Ghana (US$51.5m), Pakistan (US$280.5m), Peru (US$253.0m), Tunisia (US$57m)2006: US$182.8m Bosnia & Herzegovina (US$182.8m)2007: US$5,305.6m Guatemala (US$169.9m), Kazakhstan (US$555.6m), Mexico (US$4,563.8m), Zambia (US$17.3m)2008: US$1,387.9m Colombia (US$890.9m), Morocco (US$497m) 2009: US$2,744.3m Venezuela (US$2,744.3m)2010: US$24.9m Mozambique (US$24.9m)

Global Adspend by region

African adspend

© 2014 Warc


million)

2013 vs 2012

% chg

2013 vs 2004

% chg

Share of region

1 South Africa 4,327.4 -11.3% 97.0% 57.6%

2 Kenya 1,096.9 2.5% 937.7% 14.6%

3 Egypt 746.6 -34.0% 69.5% 9.9%

4 Morocco 574.4 -8.4% – 7.6%

5 Uganda 201.4 -3.6% 421.8% 2.7%

6 Algeria 170.9 51.4% – 2.3%

7 Ghana 161.7 18.3% – 2.2%

8 Tanzania 85.1 -0.4% 169.3% 1.1%

9 Tunisia 61.9 -21.3% – 0.8%

10 Zambia 51.9 33.3% – 0.7%

11 Mozambique 40.4 8.9% – 0.5%

Trends in adspend by market

Advertising expenditure for Africa has been rising steadily over the last ten years, from US$2.8bn in 2004 to a peak of US$8.4bn in 2012. However, the region recorded a dip in spend in 2013, falling by 10.5% to US$7.5bn.

This decline can be attributed largely to a drop in adspend in South Africa. The region’s largest market – it accounts for 57.6% of the region’s total advertising spend – saw a year-on-year decline of 11.3% to US$4.3bn in 2013.

Civil unrest rippled through the north of Africa last year, depressing market prosperity in Egypt (–34.0%), Tunisia (–21.3%) and Morocco (–8.4%). However, this was offset in part by increased annual spending in Ghana (+18.3%) and Algeria (+51.4%), two nations reaching fever pitch in the run up to the 2014 FIFA World Cup.

In terms of advertising spend by media channel, TV takes almost half of all spend on 45.7%, followed by radio (22.9%) and newspapers (19.4%).

35.1

22.9

11.98.6

-1.9 -8.2

26.8

-4.3

7.1

-15.2

0

1,000

2,000

3,000

4,000

5,000

6,000

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-10

0

10

20

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40

2004 2005 2006 2007 2008 2009 2010 2011 2012 2013

US

$ m

illion

An

nu

al %

ch

an

ge

Adspend, US$ constant 2005 pricesAnnual % change US$ (million)

(9)(10)

(10) (11) (11) (11)

19.4%

4.3%

45.7%

22.9%

0.7%

5.6%

1.5%

Adspend by medium, 2013

Newspapers

Magazines

Television

Radio

Cinema

Outdoor

Internet

US$7.4bn

Current prices (million)

2004 2005 2006 2007 2008 2009 2010 2011 2012 20132013 vs 2012

% chg 2013 vs 2004

% chg

US$ 2,812.7 3,595.1 4,252.9 4,974.0 5,468.3 5,460.1 7,305.1 7,336.9 8,404.8 7,418.6 -10.5% 167.3%

Euro 2,276.5 2,858.9 3,344.9 3,646.0 3,762.2 3,967.4 5,549.1 5,299.6 6,568.1 5,689.2 -13.4% 149.9%

PPP 5,971.7 7,251.2 8,895.7 9,975.0 11,037.6 10,777.6 12,811.3 12,007.5 14,196.6 13,436.8 -5.4% 125.0%

Trends in adspend by currency

© 2014 Warc

(5) (8)


Constant 2005 prices (million)

2004 2005 2006 2007 2008 2009 2010 2011 2012 20132013 vs 2012

% chg 2013 vs 2004

% chg

US$ 2,924.6 3,595.1 4,023.5 4,371.0 4,289.3 3,938.9 4,992.7 4,778.3 5,117.6 4,341.7 -15.2% 48.5%

Euro 2,367.0 2,858.9 3,166.8 3,203.8 2,950.5 2,861.5 3,790.7 3,451.1 3,998.2 3,284.9 -17.8% 38.8%

PPP 6,228.1 7,251.2 8,380.8 8,716.0 8,560.3 7,668.0 8,582.2 7,633.1 8,519.2 7,670.8 -10.0% 23.2%

(8) (11)

African adspend

Asia Pacific adspend

© 2014 Warc


million)

2013 vs 2012

% chg

2013 vs 2004

% chg

Share of region

1 China 44,820.6 18.2% 477.4% 32.0%

2 Japan 39,827.0 -16.4% 5.9% 28.4%

3 Australia 12,965.0 -4.9% 73.2% 9.3%

4 Republic of Korea 9,326.1 6.0% 69.8% 6.7%

5 Indonesia 6,990.8 9.1% 298.4% 5.0%

6 Hong Kong 5,476.4 7.6% 161.4% 3.9%

7 India 4,883.8 -0.2% 149.1% 3.5%

8 Thailand 4,000.6 2.2% 82.5% 2.9%

9 Malaysia 2,678.0 8.1% 171.8% 1.9%

10 Taiwan 2,085.8 5.1% 44.9% 1.5%

11 New Zealand 1,772.2 6.6% 34.9% 1.3%

12 Singapore 1,564.1 9.5% 75.3% 1.1%

13 Philippines 1,529.1 7.1% 153.8% 1.1%

14 Vietnam 1,073.1 21.2% 400.0% 0.8%

15 Kazakhstan 772.8 10.9% – 0.6%

16 Pakistan 369.5 0.6% – 0.3%


Advertising expenditure in Asia Pacific rose 0.7% year-on-year in 2013, to reach US$140.1bn. Spend in the region has virtually doubled over the last ten years, and it is now the world’s second biggest region in terms of adspend, having overtaken Europe in 2012.

This is primarily down to the rapid expansion of the Chinese ad market, which has recorded 477.4% growth since 2004. In 2013, China overtook Japan to become the region’s largest ad market, with US$44.8bn of recorded spend.

Japan also takes a significant share of the region’s spend on 28.4%, or US$39.8bn, and is significantly larger than the third biggest ad market, Australia, which accounts for 9.3% (US$13.0bn).

In terms of advertising spend by media channel, TV takes the biggest cut for the region on 41.3%, followed by internet (23.7%) and newspapers (18.4%).

11.0

8.3

1.9

6.9 5.7

-2.2

14.6

12.0

4.7

-3.0

0

20

40

60

80

100

120

140

-4

-2

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2

4

6

8

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12

14

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2004 2005 2006 2007 2008 2009 2010 2011 2012 2013

US

$ b

illion

An

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(16)(16) (16) (16) (16) (16)

18.4%

4.1%

41.3%4.3%

0.4%

7.9%

23.7%


Newspapers

Magazines

Television

Radio

Cinema

Outdoor

Internet

US$140.1bn


2004 2005 2006 2007 2008 2009 2010 2011 2012 20132013 vs 2012

% chg 2013 vs 2004

% chg

US$ 71,809.4 78,752.6 81,778.2 89,118.1 97,860.4 96,193.2 112,796.1 130,428.3 139,208.7 140,135.1 0.7% 95.1%

Euro 57,868.2 63,358.9 65,305.3 65,365.3 66,722.6 69,202.2 85,131.4 93,891.3 108,474.8 105,635.7 -2.6% 82.5%

PPP 92,631.6 103,575.7 112,947.0 121,456.0 126,471.5 126,933.5 140,027.1 153,025.3 165,945.5 181,004.3 9.1% 95.4%


© 2014 Warc

(15)



2004 2005 2006 2007 2008 2009 2010 2011 2012 20132013 vs 2012

% chg 2013 vs 2004

% chg

US$ 72,745.8 78,752.6 80,285.8 85,864.7 90,737.7 88,777.4 101,702.7 113,937.8 119,287.4 115,697.6 -3.0% 59.0%

Euro 58,623.8 63,358.9 64,112.8 62,976.8 61,854.6 63,865.8 76,756.0 82,020.3 92,938.2 87,200.0 -6.2% 48.7%

PPP 94,639.9 103,575.7 110,236.5 115,703.5 114,861.4 113,660.2 121,953.1 128,245.9 135,757.6 143,925.2 6.0% 52.1%

(15) (16)

Asia Pacific adspend

(15)

Central/South American adspend

© 2014 Warc


million)

2013 vs 2012

% chg

2013 vs 2004

% chg

Share of region

1 Brazil 16,817.4 -0.2% 263.0% 48.9%

2 Mexico 5,741.1 10.5% – 16.7%

3 Argentina 4,913.6 8.7% 390.6% 14.3%

4 Colombia 1,302.7 8.4% – 3.8%

5 Chile 1,422.3 2.5% 134.6% 4.1%

6 Venezuela 1,243.4 -27.3% – 3.6%

7 Uruguay 1,202.2 7.6% 143.7% 3.5%

8 Peru 715.0 8.3% – 2.1%

9 Costa Rica 472.0 8.2% 218.5% 1.4%

10 Guatemala 222.1 -2.8% 114.6% 0.6%

11 Honduras 210.3 -4.6% – 0.6%

12 Nicaragua 114.9 10.8% 199.2% 0.3%

Note: Data for 2013 for Mexico are estimates


Advertising expenditure in Central & South America rose 2.2% in 2013 compared with the previous year, totalling US$34.4bn. It now takes a 6.7% share of global adspend, up from just 1.9% ten years’ ago.

Brazil remains the biggest ad market in the region, registering adspend of US$16.8bn in 2013, a slight 0.2% dip on the previous year. Brazil accounts for just under half of the region’s total spend, followed some way behind by Mexico on 16.7%, with spend of US$5.7bn.

Of the 12 featured markets, eight recorded year on year growth in 2013, with Mexico rising by an impressive 10.5%, followed by Argentina (8.7%) and Colombia (8.4%).

In terms of advertising spend by media channel, TV takes the vast majority of spend on 58.6%, followed by newspapers (14.3%) and internet (11.7%).

18.4

28.6

14.2

56.0

13.4

-6.0

22.1

6.7

-6.2 -2.7

0

5

10

15

20

25

30

-10

0

10

20

30

40

50

60

2004 2005 2006 2007 2008 2009 2010 2011 2012 2013

US

$ b

illion

An

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al %

ch

an

ge


(8) (10) (12) (12) (12) (12)(12)

14.3%

4.1%

58.6%

5.8%

0.7%4.7%

11.7%


Newspapers

Magazines

Television

Radio

Cinema

Outdoor

Internet

US$34.4bn


2004 2005 2006 2007 2008 2009 2010 2011 2012 20132013 vs 2012

% chg 2013 vs 2004

% chg

US$ 7,018.9 9,654.7 11,605.3 18,856.1 22,763.0 23,777.7 30,157.2 33,623.6 33,638.4 34,377.0 2.2% 389.8%

Euro 5,665.8 7,750.5 9,305.6 13,822.0 15,643.6 17,186.5 22,161.9 24,243.9 26,259.8 25,949.1 -1.2% 358.0%

PPP 15,727.4 18,196.6 19,592.9 28,204.6 31,312.2 33,660.2 36,872.1 38,776.4 41,303.7 43,296.6 4.8% 175.3%


© 2014 Warc

(7)



2004 2005 2006 2007 2008 2009 2010 2011 2012 20132013 vs 2012

% chg 2013 vs 2004

% chg

US$ 7,508.3 9,654.7 11,027.7 17,197.9 19,507.7 18,344.7 22,406.5 23,910.4 22,419.0 21,807.5 -2.7% 190.4%

Euro 6,060.7 7,750.5 8,842.4 12,606.1 13,406.9 13,264.9 16,737.0 17,243.1 17,502.3 16,464.8 -5.9% 171.7%

PPP 16,835.7 18,196.6 18,564.8 25,606.1 26,690.5 26,195.1 27,506.4 27,352.0 27,507.2 27,393.6 -0.4% 62.7%

(8)

Central/South American adspend

(11)

European adspend

© 2014 Warc



million)

2013 vs 2012 % chg

2013 vs 2004 % chg

Share of region

1 Germany 24,862.8 4.0% 24.4% 17.8%

2 United Kingdom 24,526.4 3.2% -1.3% 17.6%

3 France 16,685.4 0.8% 17.5% 12.0%

4 Russia 11,223.0 6.4% 202.5% 8.0%

5 Italy 9,615.1 -5.0% -7.7% 6.9%

6 Spain 5,663.7 -5.4% -26.2% 4.1%

7 Netherlands 5,026.9 4.6% 18.2% 3.6%

8 Austria 4,213.1 8.0% 58.7% 3.0%

9 Switzerland 4,063.7 -0.7% 40.1% 2.9%

10 Sweden 3,914.9 4.0% 44.5% 2.8%

11 Belgium 3,485.0 3.1% 25.1% 2.5%

12 Norway 3,141.2 1.3% 92.3% 2.3%

13 Turkey 3,110.6 7.1% 137.9% 2.2%

14 Portugal 2,844.7 12.9% 25.1% 2.0%

15 Poland 2,747.5 15.4% 93.0% 2.0%

16 Denmark 2,161.2 1.3% 27.9% 1.6%

17 Finland 1,767.6 -4.8% 14.0% 1.3%

18 Slovak Republic 1,415.6 13.4% 184.0% 1.0%

19 Greece 1,345.2 9.5% -28.8% 1.0%

20 Ireland 1,295.3 4.5% -11.0% 0.9%

21 Czech Republic 1,266.5 2.5% 91.6% 0.9%

22 Ukraine 1,205.4 12.7% 247.4% 0.9%

23 Hungary 828.3 6.6% 23.4% 0.6%

24 Bosnia & Herzegovina 582.8 15.1% – 0.4%

25 Bulgaria 578.3 15.0% 140.5% 0.4%

26 Romania 447.1 -2.6% -17.8% 0.3%

27 Slovenia 275.0 11.6% 46.7% 0.2%

28 Macedonia 256.5 -3.0% 440.0% 0.2%

29 Croatia 242.8 0.1% -54.5% 0.2%

30 Serbia 226.2 -5.6% 125.1% 0.2%

31 Lithuania 131.2 2.7% 9.0% 0.1%

32 Estonia 101.4 8.4% 133.1% 0.1%

33 Latvia 96.8 7.7% 3.6% 0.1%

34 Cyprus 51.0 -17.3% -41.7% 0.0%

35 Malta 31.7 2.7% -12.7% 0.0%

Until last year, Europe was the second biggest region for global advertising expenditure (behind North America), but was overtaken in 2013 by Asia Pacific. European adspend recorded spend of US$139.4bn in 2013, a rise of 3.0% from 2012.

Germany (US$24.9bn) and the UK (US$24.5bn) were the region’s biggest ad markets, followed by France (US$16.7bn) and Russia (US$11.2bn).

Fastest year-on-year growth came in Eastern Europe, with Poland recording an increase in spend of 15.4%, followed by Bosnia & Herzegovina (15.1%) and Bulgaria (15.0%).

In terms of advertising spend by media channel, TV continues to attract the bulk of budgets with a 33.8% share, followed by internet (26.2%) and newspapers (18.8%).

15.8

3.37.2

14.8

0.1

-20.9

1.54.7

-10.4 0.9

0

20

40

60

80

100

120

140

160

-25

-20

-15

-10

-5

0

5

10

15

20

2004 2005 2006 2007 2008 2009 2010 2011 2012 2013

US

$ b

illion

An

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al %

ch

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(35)

18.8%

8.5%

33.8%5.1%0.7%

6.9%

26.2%


Newspapers

Magazines

Television

Radio

Cinema

Outdoor

Internet

US$139.4bn


2004 2005 2006 2007 2008 2009 2010 2011 2012 20132013 vs 2012

% chg 2013 vs 2004

% chg

US$ 113,572.6 120,264.9 132,292.7 156,129.8 163,211.0 129,862.2 135,201.9 146,506.5 135,382.6 139,430.0 3.0% 22.8%

Euro 91,434.3 96,727.0 105,471.8 114,120.4 111,522.1 93,509.4 102,061.2 105,414.8 105,376.0 105,017.0 -0.3% 14.9%

PPP 113,381.0 120,830.8 133,049.9 144,339.1 143,175.8 122,791.1 130,046.2 134,003.8 131,931.6 133,876.5 1.5% 18.1%


© 2014 Warc

(34)



2004 2005 2006 2007 2008 2009 2010 2011 2012 20132013 vs 2012

% chg 2013 vs 2004

% chg

US$ 116,427.9 120,264.9 128,891.3 147,928.9 148,150.8 117,171.4 118,945.5 124,577.5 111,644.9 112,702.2 0.9% -3.2%

Euro 93,735.9 96,727.0 102,758.3 108,121.5 101,225.9 84,371.0 89,788.7 89,632.9 86,909.9 84,888.3 -2.3% -9.4%

PPP 117,177.0 120,830.8 128,951.1 135,404.6 128,048.7 108,541.1 112,225.3 111,581.8 106,516.3 105,676.3 -0.8% -9.8%

(35)

European adspend

(34) (35) (35) (35) (35) (35) (35)

Middle Eastern adspend

© 2014 Warc


million)

2013 vs 2012

% chg

2013 vs 2004

% chg

Share of region

1 Pan Arab 12,458.5 18.3% 541.3% 64.7%

2 UAE 1,628.9 3.4% 156.9% 8.5%

3 Saudi Arabia 1,418.6 -0.5% 103.0% 7.4%

4 Israel 1,045.2 11.1% 33.3% 5.4%

5 Kuwait 985.3 1.8% 157.9% 5.1%

6 Qatar 628.4 35.6% 575.0% 3.3%

7 Lebanon 517.6 11.9% 87.3% 2.7%

8 Oman 355.3 31.2% 396.9% 1.8%

9 Jordan 129.5 -6.8% 71.3% 0.7%

10 Bahrain 95.1 5.9% -18.6% 0.5%

11 Syria 22.0 – – –

12 Yemen 5.0 -0.2% 11.1% 0.03%

Note: Data for Syria are for 2011


Advertising expenditure for the Middle East has risen in each of the last ten years, up from US$5.1bn in 2004 to US$19.3bn in 2013. Last year, adspend rose by 14.2% compared with 2012.

A significant proportion (64.7% or US$12.5bn) of the region’s advertising spend is accounted for by the ‘Pan Arab’ market, which incorporates spend booked for the region as a whole (excluding Israel), usually for TV.

The biggest single market for adspend in the Middle East is the United Arab Emirates, which registered spend of US$1.6bn in 2013 (up 3.4% year-on-year), followed by Saudi Arabia on US$1.4bn (down 0.5%).

In terms of advertising spend by media channel, TV accounts for the majority share of spend with 71.1%, followed by newspapers (19.1%) and magazines (4.0%). It should be noted that internet adspend is not widely measured in the region.

28.7

8.910.3

8.5 8.8

4.9

20.9

5.0

14.712.1

0

2

4

6

8

10

12

14

0.0

5.0

10.0

15.0

20.0

25.0

30.0

35.0

2004 2005 2006 2007 2008 2009 2010 2011 2012 2013

US

$ b

illion

An

nu

al %

ch

an

ge


(12) (12) (12) (12) (12) (11) (12)

19.1%

4.0%

71.1%

0.9%

3.7%0.9%


Newspapers

Magazines

Television

Radio

Cinema

Outdoor

Internet

US$19.3bn


2004 2005 2006 2007 2008 2009 2010 2011 2012 20132013 vs 2012

% chg 2013 vs 2004

% chg

US$ 5,095.1 5,731.9 6,751.6 8,024.2 9,862.6 10,660.6 13,219.8 14,388.8 16,870.2 19,267.3 14.2% 278.2%

Euro 4,475.4 4,984.2 5,878.7 6,675.0 7,884.5 9,034.5 11,681.4 12,620.4 15,471.4 17,595.5 13.7% 293.2%

PPP 6,553.9 7,061.9 7,902.8 8,959.0 9,960.0 11,894.3 14,021.6 14,459.7 16,808.6 19,275.0 14.7% 194.1%


© 2014 Warc

(12)



2004 2005 2006 2007 2008 2009 2010 2011 2012 20132013 vs 2012

% chg 2013 vs 2004

% chg

US$ 5,264.5 5,731.9 6,322.4 6,858.3 7,461.7 7,826.6 9,461.2 9,934.6 11,390.1 12,765.8 12.1% 142.5%

Euro 4,628.0 4,984.2 5,491.6 5,658.1 5,885.7 6,555.6 8,286.5 8,635.5 10,390.8 11,598.6 11.6% 150.6%

PPP 6,758.7 7,061.9 7,437.7 7,750.5 7,629.6 8,848.3 10,115.4 10,024.7 11,381.9 12,785.2 12.3% 89.2%

(36)

Middle Eastern adspend

(12) (12)

0.3%

North American adspend

© 2014 Warc

Current prices2013 (US$

million)

2013 vs 2012

% chg

2013 vs 2004

% chg

Share of region

1 United States 158,550.5 2.4% 3.1% 92.1%

2 Canada 13,662.7 -2.1% 71.7% 7.9%


Advertising expenditure in North America rose 2.0% year-on-year in 2013 to reach US$172.2bn. It remains comfortably the world’s largest region for adspend, with the second biggest, Asia Pacific, measuring some US$30bn less.

The vast majority of adspend is concentrated in the United States, which accounted for 92.1% of the region’s total spend on US$158.6bn, with Canada taking the remaining 7.9%, on US$13.7bn.

The United States experienced growth of 2.4% overall last year compared with 2012, while Canada saw spend dip by 2.1% for the same period.

In terms of advertising spend by media channel, TV accounts for 39.0% of the region’s spend, followed by internet (26.9%) and newspapers (12.3%).


4.7

1.3 1.7

-1.8

-7.9

-15.5

6.5

0.42.4

0.5

0

20

40

60

80

100

120

140

160

180

200

-20

-15

-10

-5

0

5

10

2004 2005 2006 2007 2008 2009 2010 2011 2012 2013

US

$ b

illion

An

nu

al

% c

ha

ng

e


(2)(2)(2) (2) (2) (2) (2) (2) (2)

12.3%

7.6%

39.0%9.8%

0.4%

4.0%

26.9%


Newspapers

Magazines

Television

Radio

Cinema

Outdoor

Internet

US$172.2bn


2004 2005 2006 2007 2008 2009 2010 2011 2012 20132013 vs 2012

% chg 2013 vs 2004

% chg

US$ 161,699.2 169,345.3 177,652.2 179,371.8 171,281.1 144,209.3 156,068.2 161,598.0 168,854.9 172,213.2 2.0% 6.5%

Euro 130,048.3 136,018.2 141,466.5 130,917.1 116,495.6 103,470.9 117,570.0 116,068.1 131,323.1 129,698.2 -1.2% -0.3%

PPP 162,290.9 169,328.7 177,014.4 178,031.9 169,606.5 143,682.4 154,103.8 158,877.1 166,190.2 169,970.8 2.3% 4.7%


© 2014 Warc

(2)


2004 2005 2006 2007 2008 2009 2010 2011 2012 20132013 vs 2012

% chg 2013 vs 2004

% chg

US$ 167,091.4 169,345.3 172,220.4 169,153.0 155,730.5 131,528.3 140,063.3 140,630.8 144,026.3 144,815.8 0.5% -13.3%

Euro 134,384.9 136,018.2 137,141.2 123,459.1 105,920.4 943,73.1 105,513.2 101,008.7 112,013.1 109,064.5 -2.6% -18.8%

PPP 167,696.2 169,328.7 171,595.2 167,866.9 154,160.4 131,035.8 138,259.0 138,202.3 141,683.6 142,862.6 0.8% -14.8%

North American adspend

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