Ad Age has released its annual World’s Largest Advertisers report, showing a more reasonable growth rate as the post-COVID rebound ends. The final review of data collected in 2022 showed a global ad spend increase of 2.3% to a record $347 billion. This is showing a stark contrast to the 22.1% growth rate observed in 2021. This moderate uptick aligns with the average 2.3% spending growth seen from 2015 to 2019.
By industry, Retail continues to lead the way, with an ad budget of $75.1 billion, marking a 3.8% increase from the previous year. Personal care ranks second but has seen a slight decline, with a total expenditure of $50.6 billion, registering a -1% change. Entertainment/Media trails closely with a spending of $49.5 billion, showing a modest growth of 0.6%. Automotive, once a powerhouse in ad spending, is now fourth with $35.4 billion, a decline of 4% year-over-year.
Financial Services reported $21.5 billion in ad spend, but it’s the rate of increase—9.4%—that draws attention. The travel sector exhibited the most impressive growth, with spending skyrocketing by 41.4% to $11.6 billion post-pandemic.
In terms of geographical breakdown, North America led the way with 8.7% ad spend growth. The continent accounted for 51% of the top 100’s overall expenditure.
Amazon maintained its No. 1 position in the Ad Age ranking for the second consecutive year, with $20.6 billion in global ad and promotion spending, marking a 22% increase from the previous year. Radio’s stalwart believer P&G also ranked high on the global list, showing the increasing attention that audio gets.
Although the full picture for 2023 remains unclear with Q4 weeks underway, preliminary data suggests that 70% of the top 100 global advertisers have increased their spending in year-to-date 2023, while media outlets await 2024 political revenue.
