New markets: Agencies will expand into digital media and emerging markets for growth

Over the past five years, the Global Advertising Agencies industry fared well due to growing corporate profit and the proliferation of digital media, which has expanded operators' access to their target audiences. Increasing consumer spending and growing global economic activity have caused demand from downstream industries to increase during the period. Over the five years to 2022, the growing size of major global players will enable greater exposure in emerging markets in the future as well, as their scale enables them to make strategic acquisitions to boost revenue. Furthermore, established presence and credentials in particular regions will provide a major advantage for operators competing for clients looking to work in specific markets...read more.

Industry Statistics & Market Size
Revenue
$178bn
Annual Growth 12-17
1.9%
Forecast Growth 17-22
Profit
Employment
960,998
Businesses
290,125

Industry Threats & Opportunities

  • As marketing budgets expand, companies are investing in new advertising campaigns
  • Many major players entered the Chinese and Brazilian market through joint ventures with local partners
  • Increasing corporate profitability will cause businesses to invest in new marketing campaigns
  • Industry Report - Industry SWOT Analysis Chapter

    The Global Advertising Agencies industry is in the mature phase of its life cycle. As advertising activity is far more prevalent in developed economies, the industry's fortunes are still tied closely to economic conditions and trends in the United States and Western Europe. However, rapid growth is coming from emerging markets, such as China, Latin America and Africa, as well as from the rise of digital media. As these frontier markets develop, rapidly growing businesses in these countries will start to expand their advertising budgets to attract more customers, thereby driving industry growth. Industry value added, a measure of the industry's contribution to the overall economy, is forecast to increase at an annualized rate of 0.9% in the 10 years to 2022. Com...purchase to read more.

    Additional Insights for the Global Advertising Agencies Industry

    IBISWorld identifies 250 Key Success Factors for a business.The most important for the Global Advertising Agencies Industry are

  • Having a diverse range of clients
  • Ability to vary services to suit different needs
  • Degree of globalization in the firm
  • IBISWorld analysts also discuss how external factors such as Global advertising expenditure and Global per capita income in the Global Advertising Agencies industry impact industry performance..

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    What's in this report

    What is the Global Advertising Agencies Industry?

    Firms in this industry create advertising campaigns and distribute them to various media outlets. Services include advice, campaign planning, creative services, advertising material production and media planning and buying. Public relations and other specialized communications are excluded from this industry.

    Industry Products
  • TV and film advertisements
  • Print
  • Radio
  • Interactive media
  • OOH advertising
  • Creative and general marketing
  • Content services
  • Industry Activities
  • Creating advertising campaigns
  • Disseminating advertising campaigns through available mediums, including TV, periodicals, radio and the internet
  • Providing media buying services
  • Providing advertising services, including for indoor and outdoor displays
  • Table of Contents

    Industry Definition
    Main Activities
    Similar Industries
    Additional Resources
    Industry Statistics Snapshot
    Industry Structure
    Executive Summary
    Executive Summary
    Key External Drivers
  • Global advertising expenditure
  • Global per capita income
  • Global internet usage
  • GDP of the BRIC nations
  • Global consumer spending
  • Global investor confidence

  • Current Performance
    Positive demand leads to growthDigital revolutionIndustry structure
  • Chart: Revenue Growth

  • Industry Outlook
    Steady demandDeveloped and emerging marketsTechnological change
  • Table: Global Advertising Agencies Industry Revenue Outlook

  • Industry Life Cycle
  • Life cycle reasons
  • Chart: Benchmarking - Global Advertising Agencies Industry Lifecycle vs The Economy

  • Supply Chains
    Key Buying Industries
  • Global Soft Drink & Bottled Water Manufacturing
  • Global Newspaper Publishing
  • Global Pharmaceuticals & Medicine Manufacturing
  • Global Cosmetics Manufacturing
  • Global Car & Automobile Manufacturing
  • Global Wireless Telecommunications Carriers
  • Global Movie Production & Distribution

  • Key Selling Industries
  • Global Commercial Printing
  • Global Computer Hardware Manufacturing
  • Global Internet Service Providers
  • Global Television Broadcasting

  • Products & Services
  • TV and film advertisements
  • Creative and general marketing
  • Print
  • Content services
  • Interactive media
  • OOH advertising
  • Radio
  • Other
  • Chart: Global Advertising Agencies Industry Products and Services Segmentation

  • Demand Determinants
  • Global GDP growth and corporate profitability
  • Consumer expenditure and sentiment
  • New products and special events
  • New digital media

  • Major Markets
  • Consumer products and retail
  • Food and beverage
  • Technology and telecommunication
  • Travel and leisure
  • Other
  • Financial and insurance services
  • Automotive industry
  • Pharmaceuticals and healthcare
  • Chart: Major Market Segmentation for the Global Advertising Agencies Industry

  • International Trade
    Business Locations
    Chart: Business Locations by State
    Market Share Concentration
    Key Success Factors
    Cost Structure Benchmarks
  • Profit
  • Purchases
  • Wages
  • Rent, utilities and marketing
  • Other
  • Chart: Cost Structure Benchmarking – Sector vs Global Advertising Agencies

  • Basis of Competition
  • Internal Competition
  • External Competition

  • Barriers to Entry
  • Table: Barrier to Entry Checklist for the Global Advertising Agencies Industry

  • Industry Globalization
    WPP plc, Omnicom Group Inc., Dentsu Inc., The Interpublic Group of Companies Inc.,
  • Table: WPP plc - financial performance
  • Table: Omnicom Group Inc. - financial performance
  • Table: Dentsu Inc. - financial performance
  • Table: The Interpublic Group of Companies Inc. - financial performance

  • Capital Intensity
  • Chart: Level of Capital Intensity for the Global Advertising Agencies Industry
  • Chart: Tools of the Trade: Growth Strategies for Success

  • Technology & Systems
    Revenue Volatility
  • Chart: Volatility vs Industry Growth

  • Regulation & Policy
    Industry Assistance
    Table: Industry Data for the Global Advertising Agencies Industry
    Includes:
  • Industry Revenue (2008-2022)
  • Industry Gross Product (2008-2022)
  • Establishments (2008-2022)
  • Businesses (2008-2022)
  • Employment (2008-2022)
  • Wages (2008-2022)
  • Global advertising expenditure (2008-2022)

  • Table: Annual Percentage Change for Key Industry Data
    Table: Key Ratios for Industry Key Data
    Below-The-Line
  • An advertising strategy that uses direct means of communication (rather than mass media), such as direct mail or e-mail, and incentives such as coupons, competitions and price discounts.
  • Digital Agencies
  • An agency that provides creative and technical development of internet (and mobile device) based marketing campaigns.
  • New Media
  • Digital media formats including online, cell phones and other digital devices.
  • Traditional Media
  • Media formats including TV, radio, newspapers, magazines and billboards.
  • Viral Marketing
  • Refers to marketing techniques that use social networks and other technologies to increase brand awareness or achieve other objectives.
  • What Our Customers Say

    Why buy this report?

    The global economy presents its own set of opportunities and threats for businesses in a range of industries. IBISWorld’s Global Advertising Agencies global market research report provides the latest industry statistics and industry trends, allowing you to identify the products and customers driving revenue growth and profitability. The industry report identifies the leading companies globally and offers strategic industry analysis of the key factors influencing the market.

    IBISWorld industry market research reports enable you to:
    • Find out about key industry trends
    • Identify threats and opportunities
    • Inform your decisions for marketing, strategy and planning
    • Quickly build competitive intelligence
    This report on Global Advertising Agencies:
    • Provides Market Size information to assist with planning and strategic decisions.
    • Includes the necessary information to perform SWOT, PEST and STEER analysis.
    • Helps you understand market dynamics to give you a deeper understanding of industry competition and the supply chain.
    • Analyses key performance and operational metrics so that you can benchmark against your own business, that of your customers’ businesses, or your competitors’ businesses.
    The Global Advertising Agencies market research report includes:
    • Historical data and analysis for the key drivers of this industry
    • A five-year forecast of the market and noted trends
    • Detailed research and segmentation for the main products and markets
    • An assessment of the competitive landscape and market shares for major companies
    • And of course, much more

    IBISWorld reports on thousands of industries around the world. Our clients rely on our information and data to stay up-to-date on industry trends across all industries. With this IBISWorld Industry Research Report on Global Advertising Agencies, you can expect thoroughly researched, reliable and current information that will help you to make faster, better business decisions.

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