Global marketing spend is accelerating but not so much in Australia – AdNews

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Global marketing spend will grow 30% by 2025, according to research by analysts at Forrester. 
The 2022 Marketing Investment Forecast, Global, report says marketing spend is expected to reach $4.7 trillion, which represents growth of $1.1 trillion from 2021 to 2025 at a compound annual growth rate of 7%.  
But growth won’t be uniform across the world. Australia is toward the bottom of the forecasts at 3.2% pickup in marketing spend to 2025.  
Forecast analyst Brandon Verblow says growth is underpinned by: 
US and Chinese companies drive the majority of global marketing investments. 
The US has a significant lead over China, the runner up, whose companies spend only $0.5 trillion.
Although Chinese companies represented only 13% of global marketing spend in 2021, they will constitute 27% of the growth from 2021 to 2025.
However, marketing spend growth will see a boost from Chinese companies who will grow marketing spend at a 13% annual rate during that period — the fastest growth rate of any geography (see figure above).
The rapid growth will be due to Chinese companies’ posting the fastest growth rate in revenue and the second-fastest growth rate in the marketing share of revenue of any geography.
Post-pandemic recovery has been swift, but industry performance varies. Healthcare and online retail have performed well throughout the pandemic, whilst financial services, property, and travel have lagged the most
IT software and services will be the biggest dollar growth driver. While IT software and services represented 7% of marketing investment in 2021, it will drive 14% of the dollar growth from 2021 to 2025 — by far the most of any industry. It has been a big beneficiary of the digital transformation spurred by the pandemic.
The forecasts:
forrester marketing spend april 2022
 

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