Skip to main content

U.S. Media and Entertainment Digital Ad Spending


How quickly will online media and entertainment spending grow between 2011 and 2016? What percentage of Facebook advertising impressions are generated by entertainment-related companies? What are the most common goals of entertainment-related mobile advertising campaigns? Those were the questions that eMarketer attempted to answer during their latest market study of the U.S. media and entertainment industries.

Overall, the market outlook is very promising, with a few caveats.

Online ad spending by the U.S. media and entertainment industries will rise from $2.77 billion in 2012 to $4.34 billion by 2016, according to a new eMarketer report.

As more consumers turn to the internet for news and entertainment, advertisers are using digital campaigns to raise awareness, generate buzz and encourage online sales.

eMarketer’s ad spending forecast combines media and entertainment because they say that the line between media companies and entertainment companies is becoming increasingly blurry.

The same corporate conglomerates often own the news media that produce entertainment content. Additionally, these organizations are able to use their own online delivery channels to advertise and cross-promote their various product offerings.

However, there are some important differences between media and entertainment -- when it comes to digital ad spending trends. While aggregate spending will increase over the forecast period, spending in the entertainment sector will actually decline this year.

Moreover, flat spending by hard-pressed traditional news media outlets will contribute to lower-than-average growth for entertainment and only average growth for media through 2016.

"Though media companies control some of the most visible online properties, their spending on both traditional and digital advertising appears to be artificially depressed," said eMarketer.

The industry still benefits from its unique ability to place free or lower-cost house ads. However, eMarketer sees indications that this approach may be falling short in reaching consumers that multitask. Some, including Google and Gannett, have now stepped up multipronged approaches that go beyond their own online properties.

In the entertainment-only industry, changing marketing dynamics in a number of major sectors will contribute to a slowdown in spending. According to eMarketer's assessment, movie studios, the music industry and video game companies all face challenges from lower sales and increased online competition.

Therefore, the whole entertainment industry will likely contract this year, as it looks to new revenue models focused on more targeted products.

"Despite these many challenges, entertainment industry advertising spending and growth is expected to pick up in 2013," said eMarketer, "fueled by the hope for a better economy, streamlined content distribution models, a better understanding of digital marketing and new technology to promote."

Popular posts from this blog

Industrial and Manufacturing Technology Growth

In an evolving era of rapid advancement, market demand for innovative technology in the industrial and manufacturing sectors is skyrocketing. Leaders are recognizing the immense potential of digital transformation and are driving initiatives to integrate technologies into their business operations.  These initiatives aim to enhance efficiency, reduce costs, and ultimately drive growth and competitiveness in an increasingly digital business upward trajectory. The industrial and manufacturing sectors have been the backbone of the Global Networked Economy, contributing $16 trillion in value in 2021. Industrial and Manufacturing Tech Market Development   This growth represents a 20 percent increase from 2020, highlighting the resilience and adaptability of these sectors in the face of unprecedented challenges, according to the latest worldwide market study by ABI Research . The five largest manufacturing verticals -- automotive, computer and electronic, primary metal, food, and machinery -

Rise of AI-Enabled Smart Traffic Management

The demand for smart traffic management systems has grown due to rising urban populations and increasing vehicle ownership. With more people and cars concentrated in cities, problems like traffic congestion, air pollution, and greenhouse gas emissions are pressing issues. Since the early 2000s, government leaders have been exploring ways to leverage advances in IoT connectivity, sensors, artificial intelligence (AI), and data analytics to address these transportation challenges. The concept of a Smart City emerged in the 2010s, with smart mobility and intelligent traffic management as key components.  Smart Traffic Management Market Development Concerns about continued climate change, as well as cost savings from improved traffic flow, have further motivated local government investment in these advanced systems. According to the latest worldwide market study by Juniper Research, they found that by 2028, smart traffic management investment will be up by 75 percent from a 2023 figure of

AI Software Market will Reach $251 Billion

The growth in Artificial Intelligence (AI) software could lead to many benefits. As more organizations adopt AI, they may become more efficient, productive, and able to offer improved products and services. The global job market could also expand, with demand growing for roles like AI engineers and technicians. Plus, AI apps could enable breakthroughs in fields like healthcare, transportation, and energy. The worldwide AI software market will grow from $64 billion in 2022 to nearly $251 billion in 2027 at a compound annual growth rate (CAGR) of 31.4 percent, according to the latest market study by International Data Corporation (IDC). AI Software Market Development The forecast for AI-centric software includes Artificial Intelligence Platforms, AI Applications, AI System Infrastructure Software (SIS), and AI Application Development and Deployment (AD&D) software (excluding AI platforms). However, it does not include Generative AI (GenAI) platforms and applications, which IDC recent