[October 23, 2017] |
|
Digital Advertising Spend to Reach $420 billion, Despite Impact of Ad Blockers
A new report from Juniper
Research has found that digital advertising spend will grow by 18%
CAGR (Compound Annual Growth Rate) over the next five years, rising from
$184 billion in 2017 to $420 billion in 2022. These figures include
advertising spend across mobile, desktop, wearables and DOOH
(Digital-out-of-Home) signage.
For more insights, download our free whitepaper: Ad
Fraud: How AI will Rescue Your Budget.
19% of Online Ad Revenue Lost to Ad Blockers by 2022
Contrary to this trend the new research, Future
Digital Advertising - AI, Ad Fraud & Ad Blocking 2017-2022,
predicted that the annual growth of online advertising spend will slow
to only 4% globally by 2022, owing to the impact of ad blocking adoption
across desktop devices and the increasing usage of mobile devices as the
primary means for browsing.
According to the research, ad platforms will seek a greater degree of
control over the types of ads being blocked through increased
involvement in 'Acceptable Ad' initiatives.
Through these initiatives, platforms are beginning to shift focus to
encouraging the use of adverts that are not blocked. While revenue loss
owing to ad blockers will account for 17% of online advertising spend in
2017, this loss will be mitigated and increase by only 2% over the next
five years, reaching 19% by 2022.
75% of all delivered ads to use AI by 2022
The research predicted that nearly 75% of all delivered digital ads will
use AI as a means of user targeting in 2022. Data sharing partnerships
will enable publishers to increase targeting efficiency, utilising
acquired data, such as geolocation, browsing cookies, and cross-device
identification, to provide end-users with highly tailored digital ads.
Despite objections to perceived invasions of privacy, platforms will
continue to seek innovative means of data collection to provide
personalised online ads.
Research author Sam Barker noted, "The critical factor for
maintaining revenues lies in increasing the quality of experience for
browsers. Whereas ad blocking will eliminate intrusive ads, platforms
leveraging AI for targeting will deliver more personal and accepted ads."
Juniper Research (News - Alert) provides research and analytical services to the global
hi-tech communications sector, providing consultancy, analyst reports
and industry commentary.
View source version on businesswire.com: http://www.businesswire.com/news/home/20171023005597/en/
[ Back To Mobile World Congress's Homepage ]
|