According to data published by the World Advertising Research Center, global ad spends will continue to rise, with an estimated 8.2% increase on the cards. Not only is this twice the growth rate for 2023, but it will also push global ad spends past the trillion dollar mark for the very first time. However, it bears mentioning that just five companies are controlling a majority of the ad dollars entering the ecosystem, and based on the current trend, this will become even more prevalent in 2024.
The five companies in question include Amazon, its Chinese rival Alibaba, Alphabet, ByteDance and Meta with all things having been considered and taken into account. In 2023, they collectively receive around half of all global spending, or 50.7% to be precise. By 2024, this proportion is slated to grow to 51.9%, which seems to suggest that these companies are getting far more dollars from digital ads than smaller companies out there.
Even more interestingly, while most media owners saw little to no growth in ad revenue, these companies saw their ad revenues increase by 9.2% in 2023. Their growth rate will further go up to 10.7% in 2024, controlling an ever greater portion of the ad revenues that are coming into the industry.
In spite of the fact that this is the case, the fastest growing industry is not tech related, but rather that of financial services. They will receive around $15.5 billion in ads as political spending ramps up. Over in the tech sector, Alphabet reigns supreme with a 22% share of all global ad spends going to it. Their share of online search ad revenue will reach 83.1% by 2024.
Read next: Consumers Have High Expectations for the Tech Sector, But Companies Are Falling Short
by Zia Muhammad via Digital Information World
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