25% of Global Ad Spend in 2016 to be on Digital: Carat Report

In India, the total ad spend is expected to increase by 11 per cent in 2015 and by 11.3 per cent in 2016. Digital ad spend to grow by over 20 per cent in APAC in 2015.

Global media network Carat, has released its first forecast for global advertising expenditure in 2016. The network predicts: Of the total advertising spend in 2016 digital will comprise over 25 per cent. This will be "fuelled by an upsurge in mobile advertising spending in 2015," says the network, in a press note.

The note goes on, "In India, following the formation of a stable government in 2014, economic prospects look bright." Advertising spends increased by 8.7 per cent in 2014 and are expected to increase by 11 per cent in 2015 and by 11.3 per cent in 2016.

Nick Waters, CEO, Dentsu Aegis Network, Asia Pacific, says, "As global advertising expenditure grows, so does Asia Pacific, with the historical driver China predicted to grow this year to RMB (Renminbi) 514 million at a steady 7.9 per cent."

He goes on, "Although TV still dominates, faced with the proliferation of smart phones and faster broadband speeds digital media now takes the second largest portion of ad spend in China with double digit growth predicted this year."

India's prospects, he goes on to assure, are positive. "... India looks to be one of the more attractive markets in Asia Pacific in the short to medium term. Japan performed better in 2014 than predicted. Last minute demand before the increase in consumption tax in April gave the market a boost, as did the Sochi Winter Olympics and the FIFA World Cup. As Japan heads towards the 2020 Tokyo Olympics there is cause for cautious optimism," he says.

Dentsu's Waters predicts growth of 20.1 per cent in the digital advertising spend this year in Asia Pacific, which he specifies, is "the most of any region globally." This growth will stem from several trends, such as the adoption of internet-related platforms and technologies, mobile commerce, online video, and a general rise in 'made for digital' content.

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