The quarterly Global AdView Pulse report from the research organization shows that despite significant changes in consumer habits, with more time spent on computers, tablets, and mobile screens than ever before, the world has not yet fully transitioned to digital advertising. In the second quarter of this year, television advertising accounted for 57.6% of global advertising expenditure. Who ranks second? Newspapers, yes, the very newspapers that many no longer buy or read; newspaper advertising expenditure accounted for 19% of global advertising spending, followed closely by magazines at 10%.
Nielsen's global digital data reveals that despite a surge in users of services like Facebook and Twitter, and a large number of people accessing all types of content online (news, video, or social), internet display advertising has not garnered much attention. In the first half of 2013, internet display advertising expenditure accounted for only 4.3% of global advertising spending. In other words, only 4.3 cents of every dollar spent on advertising by a brand went online. Over the past few years, the internet has been the fastest-growing medium, with a growth rate of nearly 27%, almost six times that of television advertising expenditure (which is still growing, while traditional media advertising expenditures such as newspapers, magazines, and cinemas are declining).
Comparing Nielsen's figures with those from other research organizations tracking advertising expenditure can be quite enlightening. ZenithOptimedia released its advertising outlook for the year in September 2013. It also considers television to be the largest advertising medium, albeit with a slight decline. ZenithOptimedia's report shows that television advertising accounted for 40% of global advertising expenditure in 2012, and this share is expected to decrease by only 0.5% by 2015. (ZenithOptimedia happens to have a significant business tracking and measuring television consumption as well.)
Similarly, ZenithOptimedia emphasizes internet advertising expenditure, stating that internet advertising accounted for 18% of global advertising spending in 2012 and is projected to grow to 25% by 2015. It is worth mentioning that Nielsen only measures display advertising, while ZenithOptimedia examines other categories, particularly search and classified advertising.
Although Nielsen only publishes shares without specific figures in its report, ZenithOptimedia provides concrete forecast numbers. ZenithOptimedia predicts that global display advertising will reach $40.2 billion in 2013, while internet advertising expenditure will remain below $100 billion in 2013.