Asia Pacific is one of the largest worldwide regions based on advertising spending. It is in fact second to North America, with ad revenue valued at 176 billion U.S. dollars in 2016. This figure accounted for 33 percent of global ad spend that year and is forecast to reach more than 237 billion U.S. dollars in 2021. Advertising expenditures are projected to grow steadily over the coming years, remaining at the level of approximately eight percent, with a high of 9.1 percent expected in 2018.
In terms of specific markets, China, Japan and South Korea are the leaders in the region’s ad expenditures. However, the Philippines was found to have the highest growth in 2016, with a 14 percent increase compared to 2015, while China’s ad revenues grew by eight percent and Japan’s by two percent in the same period. India’s ad spend growth was the second largest, at 12.5 percent, and Indonesia was ranked third with an 8.7 percent change. Moreover, according to forecasts, the Philippines will have devoted 0.93 percent of its GDP to advertising in 2018, second only to Hong Kong which is set to spend 1.07 percent of gross domestic product for these purposes. Both China’s and India’s ad spend share in GDP will have accounted for less than 0.5 percent in 2018, while Indonesia is forecast to stand a bit higher, with 0.7 percent.
TV and internet are the dominating advertising mediums in Asia Pacific, as they accounted for respectively 36 and 34 percent of ad spend in the region in 2015, followed by 12.5 percent attributed to newspapers. TV ad spend in Asia Pacific is predicted to grow from 49 billion U.S. dollars in 2015 to nearly 67 billion in 2020. As the region is highly dependent on everything digital, internet advertising expenditures in Asia Pacific are expected to reach 70 billion U.S. dollars, up from 43 billion in 2015. Also that year, mobile internet ad revenue reached six billion U.S. dollars in the region and this figure is poised to grow by more than ten billion U.S. dollars by the end of 2020.
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