Hamburg, 4 January 2018. The agency group JOM forecasts a growth in the net advertising market of just under two per cent for 2018. The reasons for this positive development are continuing economic growth, the further increase of private consumer spending and forthcoming major sporting events such as the World Cup and the Olympic Games. According to JOM’s calculations, the expected market volume in 2018 will increase to just under 23.8 billion euros. In the previous year, it was approx. 23.4 billion euros.
In the course of this development, approximately every third advertising euro will be invested in online media in 2018. The high two-figure growth rates of classical banner advertisements on desktop computers, however, will be a thing of the past, according to JOM’s forecast. Today’s drivers are in the area of mobile advertising and the online presentation of moving images. The growing possibilities of social media environments in particular, but also topics such as Addressable TV and locally activated online advertising, contribute to this positive development. “We are looking forward to seeing the development of Connected TVs. This could give the online-based presentation of commercials its next big boost. That would benefit not only the large digital players such as YouTube and Facebook but also the TV stations – provided appropriate products are offered”, said JOM’s Managing Director, Michael Jäschke.
Tendencies in the classical media segment remain virtually unchanged. Thus, the revenue of TV stations will remain virtually constant, while print will continue to fight against decline. In contrast, outdoor advertising and radio should continue to grow. “Out of Home”, in particular, offers increasing amounts of digital products, which are now in greater demand among customers. In total, the sector can expect average gross media price increases of six per cent in 2018, where TV is with a plus of ca. 10% clearly above average.
JOM’s calculations, which are based on the evaluation of several sources and their own statistical surveys, also provide a surprising picture of the year 2017. Contrary to expectations, the net volume of the German advertising market remained at a virtually identical level to 2016 in the past year. In all, the positive economic framework conditions did not lead to a homogeneous increase of investment in the most important advertising-relevant sectors. Whereas the automotive, finance and telecommunications sectors were rather restrained, retail and the pharmaceutical sector, for example, noticeably increased their spending. This resulted in only a slight net growth of approx. 0.5% compared with 2016.
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