ADVERTISING SPENDING

E-commerce and media consumption shifts will drive digital ad sales

By our News Team | 2022

Digital advertising is expected to rise by 8% next year, says Magna. OOH and digital video will be among the best performers.

Magna, the global media investment and intelligence company, has downgraded its growth estimates for the global advertising industry and is now expecting 5% growth in 2023, versus the 7.5% predicted in its June 2022 report.

It attributes this expected downturn to a deteriorating macroeconomic environment that includes factors such as the Russia-Ukraine war and the international cost-of-living crisis.

Photo by Andres Ayrton from Pexels

But digital ad sales are expected to rise by 8%, reaching US$557-billion in global sales and comprising 65% of all ad sales.

E-commerce and ongoing shifts in media consumption habits will drive digital ad sales, Magna believes, with digital video expected to be the fastest-growing ad format.

A recovery in social media?

A recovery in social media could see ad sales increase 7% in the segment, while search is expected to gain 10%.

OOH had a brighter-than-most 2022 and is expected to make a full global recovery in 2023, reaching $33.5-billion in ad revenue.

Strong growth is expected for ad-supported video on demand and linear addressable. Resilient pricing and sport genres are also expected to cushion the TV sector, while rising concerns around brand safety could slow digital investments for some marketers, potentially benefiting TV.

”Marketers continue to value the brand safety that editorial media vendors deliver, combined with expanding cross-platform opportunities,” said Vincent Létang, Executive Vice President of Global Market Research at Magna and author of the report.

Major global markets such as China and India could experience a recovery next year. China, the second largest ad market reflecting 15% of global revenue, is expected to grow 7% to $128-billion following a weak 2022 performance of 3% growth. The slow year was largely driven by China’s zero-Covid policy, which has led to internal protests and market disruptions.

India, which is among the top 15 advertising markets globally, is expected to grow 14% next year, with South Korea’s market expected to grow 7%. However, key markets such as Germany, Italy, Spain and Japan are forecast to have little growth.

Person wearing a beige sweater holds a phone with a translucent search bar reading 'search' and microphonecamera icons in the foreground

Search is fragmenting – credibility and trust create the new visibility

Online search behaviour has changed significantly with the rise of AI. How can African brands adapt to this new marketing landscape?

Person shopping at a deli counter holding an orange shopping basket in a cheese section of a supermarket

The move toward future-ready food packaging where materials meet AI

Researchers propose a framework for packaging that senses, learns and acts – making packaging an active, AI-powered tool against food waste.

Conference stage with a woman in a patterned dress speaking to an audience large screens display '' logos and banners for a marketers conference with 'institute of marketing in malawi' branding on stage panels and backdrop

Malawi’s marketers urged to put trust at the heart of the profession

Country needs marketers to build recognition and consumer trust around Malawian products and national brand, says Deputy Minister.

Lingerie brand creates street-stopping advertising in Manhattan

Fashion brand suspends giant lingerie high above the city’s streets, using shadows to create a moving billboard for pedestrians and motorists.

We know AI influencers aren’t real – so why do we trust them?

Researchers describe AI influencers as having a ‘dual identity’. Consumers evaluate both ‘person’ and ‘technology’ identities at once.

Hotel receptionist assisting a guest at the check in counter with a gray suitcase nearby behind the desk

Why trust has become a critical asset for hotel industry marketers

Reputation and trust, once modest influences on hotel choice, have become some of the strongest predictors of patronage, study finds.

Three people in formal attire pose for a photo at an awards event a woman in a pink dress holds a trophy while two men in suits stand beside her against a gold confetti backdrop

FNB bank’s eBucks programme dominates the 2026 SA loyalty awards

South African brands are increasingly setting the global benchmark for customer loyalty strategies, organisers say.

Portrait of a man with short black hair and a beard wearing a black button down shirt against a light gray background

Zambia’s strongest creative ideas are emerging from local truths

Global influences among younger consumers are still present, but they are being filtered through a distinctly Zambian lens.

Yellow humanoid robot at a bakery counter inspecting a display of donuts on display in front of glass cases

Consumers have doubts about products when they’re designed by AI

Researchers find that lack of perceived ‘genuine care’ is the mechanism connecting AI involvement to lower trust ratings.

Top african marketing voices confirmed for amc

Top African marketing voices confirmed for AMC 2026

Explore the 2026 AMC Conference speaker line-up. Top African marketing voices gather in Zambia to tackle AI, AfCFTA, and brand power. Register today.

Person holding two smartphones with app icons visible on their screens a large tv screen in the background shows colorful app icons

Broadcast Research Council confirms launch of total video measurement

New industry currency will bring South African television and online video audiences together in a single measurement system.