Internet advertising

Global entertainment and media Outlook 2016-2020

Internet advertising


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Matt Hobbs, a Partner with PwC's Entertainment & Media Advisory Practice, discusses some of the key Outlook findings for the Internet advertising industry and how companies can respond.

Global growth for Internet advertising masks market shifts

This article explores the growth of Internet advertising, which is being driven by consumer demand for Internet access and the increased availability of high-speed mobile connection, and some of the key challenges for the future.

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In 2016 global Internet advertising revenue will surpass TV advertising

While total Internet advertising revenue will surge at an 11.1% CAGR to reach US$260.4bn by 2020, the full potential of the sector will remain unfulfilled, as consumers turn to ad-blocking to overcome their frustrations over ads’ impacts on their loading times and data consumption. More positively, programmatic advertising has grown rapidly, with more than half of digital ads in mature markets now traded automatically – opening the way to better targeting of premium ads.

Mobile advertising will be one of the big growth stories through 2020 – but won’t come to dominate the Internet advertising market

While mobile advertising will grow at a CAGR of 19.6% to US$84.8bn in 2020, reflecting the ubiquity of mobile in consumers’ lives, mobile’s share of total global Internet advertising will still be just 32.6% even in 2020. Until the measurement and user experience of mobile ads improve, advertisers will stick with traditional media and other forms of Internet advertising, notably search.

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