The European Audiovisual Observatory has published a report analysing the online advertising market in Europe between 2011 and 2016.
The report focuses on the growth of the online sector and examines the challenges of controlling automatically generated advertising in today's climate of fake news and media manipulation.
It found that:
- The total advertising market grew by 14 per cent in the period 2011 to 2016, from €88.8 billion to €101.3 billion mainly driven by online advertising, which almost doubled in that time period.
- The online advertising market in the European Union took the lead for advertising expenditure in 2015, surpassing advertising spend on TV for the first time.
- Online advertising beat TV advertising in 2016 by €5.4 billion
- Video advertising generated €2.7 billion in 2016
"As technology progresses, new innovations such as the introduction of Artificial Intelligence; the shift to cloud-computing; the increased adoption of virtual and augmented reality by consumers; and the emergence of self-driving cars, leading to drivers’ time and attention being freed up, will see the competition for advertising budgets intensify," said the report.
"For now, Tech players seem to be in the best position to take advantage of these new changes; traditional media players, battling for a share of the advertising pie, have to prepare themselves to experience further ground-shifting developments."