Global Ad Revenues to Rise 6 Percent in 2007

LONDON, August 14: A new report from WPP’s GroupM estimates
that global advertising revenues will rise 6 percent this year to $433 billion,
accelerating to 7-percent growth in 2008, when ad spending will reach $462
billion.

According to This Year, Next Year, the rate of growth in the U.S. will lag behind the
rest of the world, with increases of 2.5 percent this year and 3.5 percent next
year. For all of North America, ad revenues will hit $173 billion in 2007 and
$179.7 billion in 2008.

Western Europe will remain at a 4-percent growth rate for
the next two years, reaching $116.7 billion in 2008. Europe’s emerging markets,
however, where ad revenues grew 22 percent in 2006, will rise 19 percent next
year to $19.3 billion and 17 percent in 2008 to $22.7 billion.

Across the Asia Pacific, ad revenues are slated to rise 8
percent this year to $100.1 billion and 11 percent in 2008 to $111.2 billion.
The Beijing Olympics will give North Asia a particular boost, with ad revenues
set to grow 12 percent this year to $37.6 billion and 21 percent in 2008 to
$45.3 billion.

In Latin America, meanwhile, GroupM projects an 18-percent
growth rate for this year to $17.8 billion and an 11-percent increase for 2008
to $19.8 billion.

TV is providing 47 percent of the world’s ad revenue growth
this year, rising to 52 percent in 2008. Internet contribution is expected to
fall from 32 percent to 30 percent this year and 28 percent next year.