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On a population-weighted average, the overall time spent with media (the ‘media day’) grew by nine minutes to eight hours in 2016, but time spent with online media grew by 14 minutes.
This is attributable to the greater access to media that mobile technologies provide.
TV’s share of advertising investment was largely stable at 42% in 2016; Group M predicts a share decline to 41% in 2017.
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As reported in its This Year, Next Year, worldwide media and marketing forecast, Group M predicts that digital advertising will capture 77 cents of every new ad dollar in 2017; TV will capture 17 cents.
Despite challenges around standards, measurement and supply chain integrity, digital advertising continues to grow rapidly as marketers follow consumers to the media destinations where they spend their time, and increasingly transact for goods and services.
“Google and Facebook attracted the vast majority of incremental digital ad investment growth in 2016,” said Adam Smith, Futures Director.
“In 2017, the industry will be watching closely to see how Snapchat or Amazon may creep into Facebook’s and Google’s value chain, and if the stronghold that ‘BAT’ (Baidu, Alibaba, Tencent) has in China can expand to international markets.” Interaction 2017 also looks at consumer purchase behaviours.
Digital investment has already surpassed TV in ten markets* and another five will cross this bar in 2017 (France, Germany, Ireland, Hong Kong and Taiwan), Group M predicts.
As the competition for consumer attention and advertiser investment escalates, people worldwide are spending more time with media.The absence of close substitutes means that for now, those advertisers seeking this young adult TV audience can be willing to bear price inflation in proportion to its rising scarcity.In the report, Group M also examines the coalescing of economic value among six global companies that hold the lion’s share of digital ad spending, with Google and Facebook at the forefront.We invite debate that will undoubtedly ensue.” * Australia, Canada, China, Denmark, Finland, the Netherlands, New Zealand, Norway, Sweden, United Kingdom ** Amazon, App Nexus, com Score, Double Click, e Marketer, ESPN, Facebook, Google, Hulu, IAB, IBM, Linked In, NBCU, Pandora, Pinterest, The New York Times, Snapchat, Turner, Twitter, Vox Media, You Tube Click here to read the full report., researchers at the University of Leeds used machine learning to create automated video avatars that speak in the voices of their characters.Group M clarifies that some of this loss is exacerbated by TV’s other big challenge – the inadequate measurement of TV’s total audience across platforms.