Businesses around the world are set to spend more on Internet advertising than on TV commercials for the first time next year, forecaster ZenithOptimedia said on Monday.
Zenith said it expected Internet advertising to grow at more than three times the rest of the industry this year, driven by demand for ads on social media, online video and paid search.
The forecaster had said in December last year it expected ad spending on the Internet to overtake TV only in 2018.
“The global economy faces clear challenges,” it said.
“But advertisers’ confidence has remained largely unshaken and our forecasts for global growth in 2016 have barely changed since we published our last forecasts in December,” it added.
ZenithOptimedia, owned by France’s Publicis, trimmed its expectation for growth in global advertising this year to 4.6 percent from a forecast of 4.7 percent it gave in December last year. That is still ahead of 3.9 percent growth last year.
The industry is to be boosted this year by advertising around the Rio Olympics, the European soccer championships and the US presidential election, the company said.
However conditions in China, Russia and Brazil, along with uncertainty regarding Britain’s membership of the EU, were among the challenges to the global economy, it added.
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