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Zenith Sees TV Ad Spending Up 2.9%

As the U.S. economy continues to recover, ad spending on television will increase, but not nearly as fast as mobile advertising.

According to a new advertising expenditure forecast by ZenithOptimedia, TV will be up 2.9% in 2013 compared to the Olympic year in 2012. Another Olympics, World Cup soccer and mid-term elections will boost spending by 3.8% in 2014 and spending will rise 2.5% in 2015.

ZenithOptimedia says that TV accounted for 38.8% of U.S. ad spending in 2012.

Total ad spending is expected to increase 3.4% in 2013, 4.5% in 2014 and 4.6% in 2015.

The biggest gains on a percentage basis will come in mobile advertising, which is just beginning to gain traction. Zenith estimates that $6.2 billion will be spent on mobile advertising in 2013, representing only 3.7% of total ad expenditures. But it will grow fast. Zenith is projecting an 81% spike in 2013, a 61% jump in 2014 and a 53% hike in 2015. Mobile will count for 8.4% of total spending.

The increase will narrow the gap between mobile’s share of ad expenditure and its share of consumers’ time spent across all media.

“After years of hype, mobile advertising has finally arrived. Its importance will only grow over the next few years as advertisers and agencies get to grips with the opportunities it offers, and improve its ability to measure and deliver return on investment, Tim Jones, CEO, North America, at ZenithOptimedia, said in the report.

Contributing to the growth in mobile are the rapid adoptions of smart phones and tablets, new ad formats created for mobile and standardization of those formats, ad serving and measurement.

Desktop Internet advertising is expected to grow 10% in 2013 and 2014, and then 8% in 2015. Desktop and mobile Internet advertising will account for $21.8% of all U.S. advertising this year. Its share will rise to $27.9% in 2015.

ZenithOptimedia forecasts that an improved European economy will result in global ad growth with a 3.5% hike in 2013, 5.1% in 2014, and 5.9% in 2015.

Jon has been business editor of Broadcasting+Cable since 2010. He focuses on revenue-generating activities, including advertising and distribution, as well as executive intrigue and merger and acquisition activity. Just about any story is fair game, if a dollar sign can make its way into the article. Before B+C, Jon covered the industry for TVWeek, Cable World, Electronic Media, Advertising Age and The New York Post. A native New Yorker, Jon is hiding in plain sight in the suburbs of Chicago.