Digital ad spending has reached new heights over the past few years — and it looks like it’s going to get even higher.
A report from eMarketer indicates that digital ad spending in the United States alone will reach $58.61 billion this year, with retailers accounting for 22 percent of the overall figure — a whopping $12.91 billion.
As you can see from the chart above, retail takes the biggest chunk of the picture, although other groups, like automotive, entertainment and financial services, have a small amount as well.
“While digital ad growth remains the story for all industries, it is not ‘one size fits all,’ and nuances among sectors reflect a variety of trends in the ways each industry approaches its market, targets consumers and closes sales,” said Victoria Petrock, principal analyst for eMarketer. “For 2015, mobile, digital video and programmatic buying are the brightest stars in the digital advertising line-up.”
This is true across all markets, particularly entertainment, which is slowly but surely gaining in numbers when it comes to mobile ad spending. It’s likely to reach $1.5 billion, with big spending on new television shows and movies. However, media is showing more spending with $1.73 billion, with focus on general products.
That said, they still can’t come close to retail, with $6.65 billion being spent in that industry alone, followed by financial services ($3.49 billion), automotive ($3.43 billion) and telecommunications ($3.27 billion). The chart above highlights the top groups.
As far as outreach for these ads, a lot of consumers still buy at home, but some retailers prefer to reach them during the purchase process. A number of retail sales occur in-store — a total of 7.2 percent of retail sales for the year â€“ which means an increase in omnichannel efforts to boost mobile ad spending during driving visits.
Programmatic buying also plays a part, with $3.71 billion being spent this year on digital display ads handled programmatically, or nearly 25 percent of the overall $14.88 billion being spent on programmatic buys overall.
When it comes to programmatic digital display ad spending for this year, CPG will account for 14.1 percent of all display dollars for the year, with only retail beating it out, as you can see by the chart above. Even though it’s a smaller portion, entertainment and media take a good chunk of that as well.
According to an advertising executive familiar with the report, CPG brands are “driving the shift into programmatic (and) also demanding better accountability for viewability and measurement.
Finally, there’s digital video, which has its own amount of figures to share. The retail and automotive markets are strong leaders on this chart, with $1.55 and $1.10 billion, respectively. That said, other smaller groups, like financial services, entertainment, and media, have their own place on this list, with a healthy percentage.
More details on the report can be found here.