Digital Ad Spending, By The Numbers
According to eMarketer, in 2019 US digital ad spending will grow by 19% to $129B. What makes this number particularly amazing is that 2019 isn’t a political year. During 2018 digital media hauled in $5.25B in political ad spending, which didn’t return in 2019. This makes you wonder how much more Digital will grow by in 2020 when all that Presidential Election cycle spending gets added in with organic growth in the sector.
Within the overall number certain industries are shifting more marketing budget into digital than others. As you can see in the chart below, Retail is far and away the largest digital spender. While many have predicted the demise of traditional retail at the hands of Amazon, the eCommerce revolution has actually propelled many of the larger B&Ms to lean harder into digital ad channels, which are reflected in these numbers.
Financial Services is the other interesting call out in eMarketer’s research. While FinServ’s share of overall ad spending will remain flat for the next two years, the vertical is set to surpass Automotive to become the second-largest digital spending category. Conversely, the lack of growth in Automotive digital media can be attributed to a slowdown in overall category spending, and the continued reliance by the T2s (coop groups) and T3s (individual dealers) on traditional media.
It’s also worth keeping an eye on emerging categories including Travel, Tech, Telecom, Entertainment, and Healthcare/Pharma, who are posting huge digital ad spend increases in 2019. Here’s eMarketer’s full report if you want to dig in.