Page 6 - index

RESEARCH, ANALYSIS & TRENDS

Asia Pacific's

fast-growing

economies make

for fast-growing

Ad spending

According to one of eMarketer’s latest studies, total China remain Asia-Pacific’s leader in digital adver-
media spending will grow most quickly in Indonesia this tising
year.
China will remain Asia-Pacific’s leader in digital adver-
Asia-Pacific will remain the fastest-growing region of tising this year, accounting for 45.9% of all regional ex-
the global economy over the next two years, according penditures, worth $18.96 billion. Despite its economic
to the International Monetary Fund, driven by expand- concerns, Japan will spend the second-highest amount
ing manufacturing sectors that serve international mar- on digital advertising in the region, at $9.19 billion.
kets, as well as a burgeoning middle class that has Overall, digital ad spending in Asia-Pacific will reach
helped to increase domestic consumption. $41.33 billion this year—an 18.3% increase over 2013.
Of the core countries covered by eMarketer in the re-
Positive trend in ad spending for the region gion, Indonesia will remain the least developed market
for digital advertising through 2016, but is expected to
surpass India in 2017 and then pull away from that
Despite differences in economic growth projections
among Asia-Pacific’s constituent countries, the overall country rapidly in 2018.
trend in ad spending for the region is a positive one.
eMarketer expects that spending on all measured me- Digital advertising outlays in many of these markets are
dia in Asia-Pacific will reach $152.00 billion in 2014—a constrained by low internet penetration in many areas
6.3% year-over-year increase. across Asia-Pacific. There are wide differences in web
access among these countries, and sometimes even
within them. For instance, the internet is more com-
Overall, the region will account for more than one-
quarter (27.9%) of global ad spend this year, behind monly accessed in large cities in China, India and Indo-
only North America’s 35.6%. nesia than in rural areas that lack the requisite infra-
structure. Despite these limitations, eMarketer esti-
mates that there will be 1.33 billion people in Asia-
eMarketer estimates that Indonesia, India and China Pacific who access the internet at least once per month
will boast Asia-Pacific’s highest growth rates in ad in 2014.
spending, led by Indonesia with 22.0%. All three coun-
tries are expected to sustain rates higher than the re-
gional average through 2018. China passes Japan in mobile internet ad spend,
claims top spot
ZenithOptimedia’s “Advertising Expenditure Forecasts,”
updated in June 2014, was in general accordance with Mobile internet ad spending in China will more than
eMarketer’s projections, estimating that ad spending in triple this year, according to eMarketer’s latest esti-
the region would increase by 6.5% year over year in mates of ad spending around the world. The company
2014. predicts spending on display and search ads delivered
to mobile internet-connected devices will reach more
than $2.83 billion this year, up from less than $1 billion
ZenithOptimedia also predicted an increase in the in 2013. By 2017, mobile internet ad spending in China
growth rate each year through 2016, noting that an will surpass $12 billion.
“economic recovery in Western Europe leads to better
trading conditions and higher corporate confidence.”
The firm projected that annual ad spending growth for China won’t be the only country in Asia-Pacific enjoying
the region would increase to 7.4% in 2015 and 8.1% in triple-digit growth in mobile internet ad spending this
2016. year. Advertisers in Australia will spend 150.0% more
on mobile internet ads this year than last year, and in
South Korea, growth will reach 120.0%.

6 Asian eMarketing October 2014 - Marketing Automation