[eMarketer] 30 per cent of advertisers are cutting their 2023 budgets

The ad downturn is extending past the summer, past the holiday season, and into 2023. Nearly 30% of major advertisers say they’re cutting their ad budgets into next year, according to a World Federation of Advertisers (WFA) survey of 43 multinational companies.

74% said the economic downturn is influencing their 2023 budget decisions.

Thirty percent is a significant number, but just as many advertisers are either growing their budgets or spending the same amount.

Many industries have diverted funds away from traditional advertising channels and toward direct-to-consumer marketing, where they can avoid dealing with ad exchanges and attempt to maintain loyalty through a potential consumer spending downturn.

42% of survey respondents said they would be spending more on digital advertising next year—50% are planning to cut “offline” ad spending.

According to eMarketer, shaken faith in digital advertising channels and economic concerns are leading to an overall spending decrease that’s going to continue into next year.

But while advertising may be in a rough state, marketers have little choice: Historic levels of cord-cutting and the increasing shift to digital platforms mean they have to spend their money online one way or another.

Read the full eMarketer article here

www.emarketer.com