Global advertising spending is regularly published by various forecasting organizations such as Zenith (Publicis Groupe), GroupM (WPP), Magna (Interpublic), Nielsen, etc. The forecast data published by these organizations are media expenditure intention (purchase of space) by advertisers. These estimates are expressed in billings and do not as such represent advertising agencies’ potential revenue. A quarterly review of these reports offers insight on trends in the advertising market, even though the figures do not factor in a whole facet of advertising agencies’ business activities (public relations, direct marketing, CRM, e-commerce and e-mobile, etc.), of Publicis Sapient (digital business transformation, consumer experience, etc.) and of Epsilon (data and technology).
| Global advertising market (2021) | Advertising spend in 2021 (in millions of US dollars) (1) (2) |
% of global advertising spend in 2021 (1) (2) |
% of Publicis Groupe’s net revenue in 2021 |
|---|---|---|---|
| North America | North America Advertising spend in 2021 (in millions of US dollars) (1) (2) 296,375 |
North America % of global advertising spend in 2021 (1) (2)43% |
North America % of Publicis Groupe’snet revenue in 2021 61% |
| Europe | Europe Advertising spend in 2021 (in millions of US dollars) (1) (2) 144,272 |
Europe % of global advertising spend in 2021 (1) (2)21% |
Europe % of Publicis Groupe’snet revenue in 2021 24% |
| Asia Pacific | Asia Pacific Advertising spend in 2021 (in millions of US dollars) (1) (2) 209,020 |
Asia Pacific % of global advertising spend in 2021 (1) (2)30% |
Asia Pacific % of Publicis Groupe’snet revenue in 2021 10% |
| Middle East & Africa | Middle East & Africa Advertising spend in 2021 (in millions of US dollars) (1) (2) 16,417 |
Middle East & Africa % of global advertising spend in 2021 (1) (2)2% |
Middle East & Africa % of Publicis Groupe’snet revenue in 2021 3% |
| Latin America | Latin America Advertising spend in 2021 (in millions of US dollars) (1) (2) 28,262 |
Latin America % of global advertising spend in 2021 (1) (2)4% |
Latin America % of Publicis Groupe’snet revenue in 2021 2% |
| Total | Total Advertising spend in 2021 (in millions of US dollars) (1) (2) 694,346 |
Total % of global advertising spend in 2021 (1) (2)100% |
Total % of Publicis Groupe’snet revenue in 2021 100% |
(1) In current prices and in 2021 average exchange rates.
(2) Zenith forecasts for Publicis Groupe markets.
|
(in millions of euros) |
2020 | En % | 2021 | In % |
|---|---|---|---|---|
| North America | North America 2020 5,997 |
North America En % 62% |
North America2021 6,368 |
North AmericaIn % 61% |
| Europe | Europe 2020 2,278 |
Europe En % 23% |
Europe2021 2,534 |
EuropeIn % 24% |
| Asia Pacific | Asia Pacific 2020 932 |
Asia Pacific En % 10% |
Asia Pacific2021 1,038 |
Asia PacificIn % 10% |
| Middle East & Africa | Middle East & Africa 2020 275 |
Middle East & Africa En % 3% |
Middle East & Africa2021 304 |
Middle East & AfricaIn % 3% |
| Latin America | Latin America 2020 230 |
Latin America En % 2% |
Latin America2021 243 |
Latin AmericaIn % 2% |
| Total | Total 2020 9,712 |
Total En % 100% |
Total202110,487 | TotalIn %100% |
Clients’ advertising and communications expenditure fluctuates, often in response to actual or expected changes in consumer spending. Because consumer spending in many of the Groupe’s markets is typically lower at the beginning of the year, following the holidays, and in July and August, the most popular vacation months in Europe and North America, advertising and communications expenditure is lower during these periods as well. As a result, advertising and communications expenditure is not as high during these periods. Historically, the Groupe’s revenue is often higher in the second and fourth quarters of the year than in the first and third quarters.
Following the Covid-19 pandemic, but also the rebound in activity that followed in 2021, the traditional seasonality of the activity was affected. As a result, the Groupe recorded a sequential increase in net revenue each quarter in 2021.
