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World Cup to boost advertising spend in Asia Pacific by $250m

A new report finds that, despite disadvantageous time differences in Asia Pacific, for the World Cup the event likely to boost advertising in the region by US$250m.

The Advertising Expenditure Forecasts by media agency ZenithOptimedia predicts that the global football event, currently being held in Brazil, will help the global ad market grow by 5.4 per cent in 2014, a boost of some $1.5bn globally.

However, the Asia-Pacific will not be the main beneficiary of the football driven cash injection with host continent Latin America to see the biggest impact with $500m in additional advertising spend. North American and the more football orientated Western Europe will both see a boost of $300m each, while $150m is predicted to go to Central and Eastern Europe, the Middle East and Africa.

The report predicts global ad expenditure will grow by 5.4 per cent in 2014 reaching $524bn by the end of 2014, down 0.1 per cent on previous forecasts following conflict in the Ukraine.

The biggest boost from the World Cup will be in television over June-July however, ZenithOptimedia predicts the medium’s hsare of the global advertising market will begin to fall this year, after peaking in 2013.

The report find that the share in share will erode from 39.4 per cent this year to 38.3 per cent by 2016 driven not by advertisers leaving television but rather the growth of the internet.

The “fast track” Asian economies, China, India, Indonesia, Malaysia, Pakistan, Philippines, Taiwan, Thailand and Vietnam, are forecast growth of between 11 per cent and 13 per cent a year for 2014 to 2016, while the more developed economies Australia, New Zealand, Hong Kong, Singapore and South Korea are forecast to have growth of between 3.4 per cent and 4.8 per cent.

 

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