Media spending growth slows in Western Europe due to region's debt crisis
New York—Hampered by the lingering debt crisis in the region, Western Europe saw total media spending increase just 1.8% this year to $114.4 billion, according to an estimate from eMarketer. The company had previously forecast total ad spending in the area would grow 3% to $115.8 billion.
Nonetheless, online advertising is growing faster than anticipated in the region, increasing 12.8% to $24.5 billion this year. EMarketer estimates online advertising will increase 13.9% in 2012 to $27.9 billion.
“As economic concerns deepen in the eurozone, the shift of advertising from offline to online platforms is accelerating in all major regional markets,” said eMarketer senior analyst Karin von Abrams in a statement. “Advertisers value the cost-effectiveness, flexibility and accountability of digital ads more highly than ever.”
EMarketer also estimated that mobile ad spending in Western Europe will surpass $1 billion next year and post a a compound annual growth rate of 52% through 2015.