NEW YORK: Advertising spend in North America is forecast to increase by 3.6% in 2017 and 4.0% in 2018 to reach $230bn, according to new figures from Dentsu Aegis Network.
Hard on the heels of revised adspend data from MAGNA, the projections are marginally down on the media agency's 3.7% forecast in September 2016.
"This is in line with an adjustment to the US ad market forecast, following a slow start to US advertising expenditure in Q1 2017," Dentsu's June 2017 Ad Spend Report said. "Momentum is expected to pick up in subsequent quarters."
TV spending is expected to take 37% share of the US ad market in 2017, helped by a strong 2016/2017 upfront contributing to 2% overall TV growth.
Digital spending takes a 30.5% share of expenditure, a figure that is predicted to hit 36% in 2019-20 by when it will have passed TV.
Spending on mobile as a platform (including search, video and social) will pass $40bn in 2017 – representing a 63% share of total digital expenditure; growth of 20% is forecast for 2018.
Earlier this week the IAB reported that digital ad spending hit $19.6bn in the first quarter, with year-on-year growth of 23%.
It noted that this was second-highest quarter of all time, and followed on the industry's strongest quarter on record – $21.6bn was spent in Q4 2016.
"These figures reflect marketers' ongoing commitment to invest in digital," said Chris Kuist, Senior Vice President, Research and Impact, IAB. "This steady growth is a direct result of interactive advertising's power to reach consumers where they are spending more and more of their time – on connected screens."
Data sourced from Dentsu Aegis Network, IAB; additional content by WARC staff