MAGNA forecasts +10% global ad revenue growth, OOH growth at 7%

MAGNA’s Global Ad Forecast, June 2024 predicts that global media owners’ advertising revenues will reach $927 billion this year, growing by +10%. As cited in media reports, this outlook stems from a stronger-than-expected ad market in the first quarter (+12%) and an improvement in the economic outlook (real GDP growth +3.2%, APAC +5.2%).

The advertising revenues of traditional media owners operating in television, radio, publishing, and OOH media industries are expected to grow to $272 billion, a +3% increase that represents a noticeable improvement compared to 2023 (-4%).

The APAC ad market is expected to by +8.5% this year to $289 billion. 

India is among the most dynamic ad markets this year at +12% growth, just behind Spain (+14%) and at par with the UK. 

Among the major category advertisers, the report states that globally automotive and CPG/FMCG brands will be among the fastest-growing ad spending verticals this year, while Finance re-accelerates and Government expands due to the many elections taking place this year.

Pertinent to note that several cyclical events are taking place in 2024, including four major sports tournaments (Paris Olympics, UEFA Euro 2024, Copa América hosted by the US, and the ICC T20 Cricket World Cup hosted by the US and the West Indies), and general elections in five major markets (Mexico, US, France, the UK and more recently in India).

OOH continues to show significant organic growth (6.9% to $35 billion) driven by DOOH growth (+12%, reaching almost 40% of global OOH ad sales), and by omnichannel programmatic spending. OOH share of total ad revenues is estimated at 3.8%.