Full global TV ad recovery held up by lagging European market | News | Rapid TV News
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A sluggish, recession-hit Europe is hampering a full global recovery in TV advertising according to a new report by Digital TV Research.

In its TV Advertising Forecasts report, the analyst predicts that global TV advertising expenditure in the leading 55 markets will reach $219 billion in 2018, up by 32% from 2012. Overall, even though TV advertising spend grew by 4.4% in 2012 to $167 billion, Digital TV Research forecasts only 2.8% growth for 2013 due mainly to the continued economic hard times in several European territories. Digital TV Research added that 2012's figures were boosted by the traditional quadrennial effect that takes place in years with a US Presidential election, summer Olympics and the Euro football championships.

Investigating where growth will take place, the analyst believes that TV advertising expenditure will more than double in Latin America between 2008 and 2018, due to the buoyant economies, Brazil hosting both the 2016 Olympics and 2014 football World Cup, but also because of high inflation in some countries, such as Argentina. TV advertising spend in Western Europe will only be 11% higher in 2018 than in the pre-recession year of 2008. Excluding the Russian market, TV advertising in Eastern Europe will still be lower in 2018 than the 2008 total.

In absolute terms, North America wil account for the lion's share of net TV advertising expenditure by 2018, racking up $89.6 billion. It will be followed by Asia Pacific on $57.1 billion, Western Europe on $33.2 billion and the aforementioned Latin America on $21.4 billion. Of the $52.6 billion TV ad spend to be added between 2012 and 2018, $18.2 billion is forecast to come from the US, followed by an extra $5.6 billion from China, $4.6 billion from Brazil and $3.7 billion from Japan. However, Argentina, Brazil and Indonesia will record the fastest growth over the same period.

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