Global ad revenue to top $1 trillion, dominated by Google and Meta

The global advertising market is set to exceed $1 trillion in revenue for the first time in 2024, according to a report by GroupM, a media agency under the holding company WPP. The tech giants — Google, Meta, ByteDance, Amazon and Alibaba — are projected to capture more than half of the total, underscoring the dominance of digital platforms.

Why we care. On a day when Omnicom announced the acquisition of Interpublic Group, becoming the world’s largest agency holding company, it’s timely to be reminded what a huge challenge digital advertising is presenting to traditional advertising and ad agencies.

To stay competitive, agencies need to adapt to the digital-first landscape, leverage AI for smarter targeting, and align with shifting consumer behaviors while navigating economic uncertainties. There are signs that some of the big agency groups have got that message.

Key Stats: The GroupM report highlights the following numbers:

• 2024 growth: Global ad revenues are forecasted to rise by 9.5%, with further growth of 7.7% in 2025.
• Digital share: Digital ads (including streaming, online news, and magazines) could make up 82% of total revenue in 2025.
• U.S. market: The largest ad market globally, the US, is set to reach $379 billion in revenue by 2025.
• China’s surge: China’s ad market is expected to grow by 13.5% in 2024, hitting $204.5 billion.
• Decline of print: Print ad revenue will drop by 4.5% next year and a further 3% in 2025.

What’s next? The report suggests that advertising growth will remain centered on tech platforms, with their share increasing alongside advancements in AI. In markets like China, initiatives to boost consumer confidence could unlock pent-up demand, offering further growth opportunities.

The shift toward digital-first strategies signals a transformative era for advertisers, with winners likely emerging from their ability to leverage data and adapt to evolving consumer behaviors.

Additional reporting by Kim Davis.

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