2016 has been quite the year for advertising. According to a recent report from marketing agency MAGNA, total ad sales grew $11 billion to an all time high of $180 billion. Digital ad sales including video, audio, display, social and search jumped 18% or $11 billion to an estimated $70 billion. Overall, offline sales decreased 2.4%.
Mobile saw the largest growth in 2016 at 53.5% of all digital ad spend, whilst desktop ad growth slumped 2.1%. For 2017, the agency forecasts mobile ad expenditure to increase another 35%.
Overall, digital ad sales are expected to grew $10 billion in 2017 to $80 billion. That’s a 14% rise whilst offline ad sales will decrease $3 billion to $103 billion. Search is driving much of that revenue at a 13% growth whilst video and social are both jumping 28%.
MAGNA says that social video has been a key driver in 2016 and this growth will continue in 2017. Indeed, given recent expansions into video by Facebook, Snapchat and Twitter the format is likely to take off in 2017. Live streams have become the new thing and Facebook just recently launched video ad formats for live video. This may boost video ad sales to double this yaer and reach $4 billion.