Advertising & Marketing Services Industry Profile

Companies in this industry are primarily engaged in advertising, public relations, and other related services. The world's major advertising companies include Interpublic Group and Omnicom (both based in the US); along with Dentsu (Japan); Publicis (France); WPP (UK); and the digital marketing arms of global consulting firms Accenture, Deloitte, IBM, and PricewaterhouseCoopers.

Global ad spending in 2022 reached about $740 billion, with digital ads leading the growth with over 55% total ad spend share, according to Dentsu. The Americas are the top ad spend region at about $330 billion, followed by India and Brazil.

The US advertising and marketing services industry includes about 38,000 establishments (single-location companies and units of multi-location companies) with combined annual revenue of about $110 billion.

COMPETITIVE LANDSCAPE

Migration of ad spending to digital media continues to drive change in the industry. Global media owner revenue from digital ads, including search, social, and mobile, has surpassed TV ad revenue, according to Zenith. Within the industry, competition is high between firms that provide traditional TV or print advertising and those that provide more modern digital and mobile/social focused services. This leads many larger firms to create or acquire brands that offer a wider array of services.

At the same time, some of the world's largest consultancies have entered the advertising industry, including Accenture Interactive, PwC, IBM's iX, and Deloitte. These companies have the advantage of already doing business with some ...