Marketing and advertising are key components of a business’s growth. With more and more internet users year after year, many brands have increased their digital marketing spend in an effort to reach more consumers.

The global digital advertising market in 2022 is valued at $602.25 billion—66.4 percent of the overall expenditure on media ads. This refers to advertising on internet-connected devices such as computers, mobile devices, and smart devices. Media ads include everything from email marketing and video content to search engine results and more.

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Digital Advertising Growth

The digital advertising spend in 2022 marks a 15.6 percent rise from the $521.02 billion spent in 2021. It may only be a fraction of an increase, but digital advertising growth is expected to continue in 2023.

The largest annual growth between 2021 and 2026 came in 2021 when digital ad spend increased 29.9 percent year over year.

Digital advertising growth is showing no signs of stopping. Experts’ projections indicate that the digital advertising market will continue to grow over the next few years, albeit with a slight slowdown in its pace. 

Here are the annual digital advertising growth rates forecast for the next few years:

  • 2023: 13.1 percent
  • 2024: 11 percent
  • 2025: 8.4 percent
  • 2026: 6.8 percent

2022 is the first time global digital ad spend is expected to cross the $600 billion mark. If that’s not impressive enough, the digital advertising market is forecast to continue growing and reach $681.39 billion in 2023 and rise further to $756.47 billion in 2024 and $820.24 billion in 2025.

By 2026, it will hit $876.10 billion. Not only is this a 68.2 percent increase from 2021, but it will also make up 73.6 percent of the overall expenditure on media ads. In other words, in 2026, for every dollar spent on ads, nearly 74 cents will be on digital ads. 

As digital ad spend grows, expenditure on print media advertising declines. Research results already suggest that the coronavirus pandemic in 2020 has accelerated the shift to digital advertising. 

Plus, with lockdowns in place across the world, people are spending a lot more time at home than usual and consuming increasing amounts of digital media. Print media is being impacted badly by this shift, with the effect particularly hard felt on print newspapers and magazines.

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