With the continued uncertainty of the economic climate Group M’s global ad growth for the year ahead is predicted to be 3.4 per cent, according to the latest worldwide marketing forecast. Last year 3.6 per cent growth was achieved, rather than the anticipated 4.5 per cent. The main reason for this was said to be a disappointing Eurozone periphery, with the situation in the less developed Ireland, Italy, Greece, Spain and Portugal causing expectations for the next year to be limited.
Stabilisation would go some way to improving prospects, although it remains unclear if likely to happen any time soon. For this reason measured advertising is expected to record an 11 per cent decline in 2013. However, one positive is 5.1 per cent global ad growth is anticipated in 2014, based on the assumption that Eurozone periphery advertising will see a 1.4 per cent recovery.
MEC opinion
While the global economy remains uncertain and the possibility of a return to recession in the UK is still a threat, it’s clear there are reasons to be positive. The country-by-country breakdown not only provides us with headlines for each market but a comprehensive breakdown of performance in recent years and a forecast for 2014.
While it’s important to take nothing for granted, the report shows optimism is returning in certain markets and this gives us a clearer picture of which mediums are achieving the best results and which could do with a boost. For example, the risk of a Euro collapse is less likely than previously (although it remains in a critical position) and the digital economy is growing at a faster pace than forecasted. One thing that remains clear is there’s plenty of hard work to be done to keep things moving in the right direction.