NEW YORK (Reuters) - U.S. advertising spending should rise by 3.1 percent this year, with cable television, online video and mobile marketing leading the charge, according to a forecast released on Monday.
The forecast from Interpublic Group’s Magnaglobal confirms what many media executives, particularly those in television and digital media, have been saying: A better economy has made corporations more confident about launching big branding and product campaigns.
While it is increasingly clear that spending has recovered, it remains to be seen when growth rates will begin to accelerate.
The projected 3.1 percent increase this year, for instance, is nearly identical to the 2010 growth rate, according to Magnaglobal.
Advertisers are also showing a preference for more targeted marketing, according to the forecast. National cable television spending is estimated to increase a hefty 10.8 percent, while spending on mainstream broadcast networks including ABC, CBS, NBC and Fox is forecast to rise by 2.4 percent.
The other hotspot over the remainder of this year will be spending on digital media ads, thanks in large measure to investment in mobile and online video campaigns. Spending in the category is forecast to rise 18.7 percent this year.
Reporting by Paul Thomasch; Editing by Richard Chang