Advertising medium Internet grows fastest

After growth of 3.9 percent in 2013, the trend is upward by 5.3 percent in 2014 and 2015 and 5.9 percent in 2016. Accordingly, global advertising investment will reach USD 523 billion before the end of this year. At 17.1 percent, the Internet will be the fastest-growing advertising medium. It will benefit in particular from improved technologies that make online advertising cheaper, easier and more effective. Growth will also be fueled by a spectrum of companies that goes far beyond traditional media houses and includes digital specialists, technology companies and smaller direct customers.

Among other things, Internet advertising is becoming attractive due to improved interactive and attention-grabbing advertising formats, the significant expansion of programmatic buying platforms and their targeting capabilities in almost all major markets, and the dynamic development of social media (growing 29.9 percent annually worldwide) and mobile (growing 67 percent this year).

"Digital communication is also driving the market in Germany, as was seen not least at Dmexco, which this year presented more technological innovations than ever before," explains Frank-Peter Lortz, Chairman Zenith Optimedia (pictured). "Nevertheless, we must not think we can relax and watch the market grow here. In Germany, the advertising market is growing by 1.7 percent, driven by Internet advertising, which is up 10 percent. Online has outgrown its infancy, but before it reaches the next level, a number of questions still need to be answered. For example, the impact of online advertising beyond the click. We also need to exploit the potential of online moving images much more in Germany. The success of TV shows the potential of moving images. To date, however, the moving image inventory is limited and too expensive. Here, publishers in particular are called upon to provide more inventory. Furthermore, it will be a strategic task for all market players to develop mobile and, in particular, to improve the capitalization of inventory."

On a global level, mobile will grow seven times faster than desktop advertising this year, accounting for 20 percent of all online advertising investment. In 2013-2016, mobile will attract 42 percent of all additional advertising investment globally, followed by TV (30 percent) and desktop Internet (28 percent). Internet advertising as a whole, meanwhile, will account for 28.3 percent of global advertising investment in 2014, more than the combined share of newspapers and magazines (22.7 percent), and as much as 28.3 percent in 2016.

Despite this very positive development, the global advertising market forecast is 0.1 percentage points below the June forecast. This is due to the tensions between Russia and the West in the Ukraine crisis. Mutual sanctions are likely to cause Russia's advertising market to grow by only 1.7 percent, instead of the 6.9 percent expected in June. In Ukraine, the advertising market is expected to shrink by as much as 32.5 percent.