Digital ads are great for small businesses because of the fact that this is the sort of thing that could potentially end up allowing them to advertise to users at low costs. In spite of the fact that this is the case, the local digital ad industry does not get as much attention as major corporate digital ad campaigns. A new report by Borrell Associates revealed that local digital ad spends for 2022 are expected to be over $92 billion, or $92.8 billion to be precise, which represents a 9% year on year increase with all things having been considered and taken into account.
With all of that having been said and now out of the way, it is important to note that this rate of growth has actually decreased to the single digits for the first time in two years. However, around 53% of media managers working for local companies expect their employers to increase ad budgets this year by anywhere from 1% to 24%. This represents an increase from last year’s 38% that said the same.
As for budget growth in the 25% to 49% range, 29% of media managers said that they expected to see budget increases of this magnitude. This is two points higher than the 27% that said the same in the previous year. Budget increases are expected after an estimated 42% increase in revenues last year due to local digital ad buys, and around 40% of people working in the industry expect to see at least that much revenue growth this year as well.
All in all, around 14% of all digital ads are by local businesses catering to local customers. Around 36% of that money is going to OTT, but it is also important to recognize that targeted banners are on the rise with 16% of budgeted amounts being directed towards them. Streaming audio seems to be a low priority right now, with only 4% of the budget being aimed at acquiring ad space on such platforms with SEO also having a similarly low priority which is surprising considering its previous popularity.
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With all of that having been said and now out of the way, it is important to note that this rate of growth has actually decreased to the single digits for the first time in two years. However, around 53% of media managers working for local companies expect their employers to increase ad budgets this year by anywhere from 1% to 24%. This represents an increase from last year’s 38% that said the same.
As for budget growth in the 25% to 49% range, 29% of media managers said that they expected to see budget increases of this magnitude. This is two points higher than the 27% that said the same in the previous year. Budget increases are expected after an estimated 42% increase in revenues last year due to local digital ad buys, and around 40% of people working in the industry expect to see at least that much revenue growth this year as well.
All in all, around 14% of all digital ads are by local businesses catering to local customers. Around 36% of that money is going to OTT, but it is also important to recognize that targeted banners are on the rise with 16% of budgeted amounts being directed towards them. Streaming audio seems to be a low priority right now, with only 4% of the budget being aimed at acquiring ad space on such platforms with SEO also having a similarly low priority which is surprising considering its previous popularity.
Read next: Here’s Which Phishing Email Subjects Get the Most Clicks
