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    Home»News»Digital advertising spending to experience 85% growth in 5years
    News 2 Mins Read

    Digital advertising spending to experience 85% growth in 5years

    mmBy ITPulseFebruary 7, 2022
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    The global digital advertising spending will experience 85percent growth from $407 billion in 2022 to $753 billion in 2026; a new study by Juniper Research has found.

    The study ‘Digital Advertising: Emerging Trends, Key Opportunities & Market Forecasts 2022-2026’, noted that mobile in-app revenue will account for 56 percent of global spend by 2026. It also found that whilst privacy changes from Apple and Google are restricting the potential for effective ad attribution, there are still major opportunities.

    The availability of the SKAdNetwork on iOS, for example, is a major opportunity for advertisers to access aggregated data; allowing them to target areas primed for growth, such as child-safe applications.

    “With recent data collection policy changes by technology giants creating further challenges for mobile attribution, enterprises must adopt a code of best practice to maximise return on advertising spend and support probabilistic attribution models,” said Research author Scarlett Woodford.

    Meanwhile, privacy concerns must be addressed to ensure accurate attribution as the report predicts that total mobile in-app advertising spend will increase from $201 billion in 2022 to $425 billion in 2026, as brands strive to secure consumer trust. It urges enterprises to clearly outline their data collection, storage, and usage policies, in order to optimise opt-ins.

    The report anticipates that desktop advertising spend will increase from $97 billion in 2022 to $142 billion in 2026, despite a diversion of spend towards handheld devices and the implementation of data protection regulation impacting cookie policies.

    The research identified video as a key channel for advertisers, with video ad spend expected to grow by 63% over the next four years, as the success of popular distribution channels, such as TikTok and YouTube Shorts, continues to drive demand for video advertising and justify premium charges. Therefore, the research urges marketers to ensure that video ads are optimised for smartphone and tablet consumption, in order to maximise return on investment.

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