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Media Buying Agencies And Representative Firms Global Market Report 2022

Media Buying Agencies And Representative Firms Global Market Report 2022

  • December 2021
  • 175 pages
  • ID: 4442214
  • Format: PDF
  • The Business Research Company


Table of Contents

Major players in the media buying agencies and representative firms market are Publicis Groupe, Omnicom Group Inc., Interpublic Group of companies, Dentsu, Katz Media Group and Edelman.

The global media buying agencies and representative firms market is expected to grow from $70.82 billion in 2021 to $78.35 billion in 2022 at a compound annual growth rate (CAGR) of 10.6%. The growth is mainly due to the companies rearranging their operations and recovering from the COVID-19 impact, which had earlier led to restrictive containment measures involving social distancing, remote working, and the closure of commercial activities that resulted in operational challenges. The market is expected to reach $112.11 billion in 2026 at a CAGR of 9.4%.

The media buying agencies and representative firms market consists of the sales of advertising services by entities (organizations, sole traders and partnerships) that purchase advertising time or space from media outlets and resell it to advertising agencies or individual companies directly, and independent representatives that sell media time or space for media owners. Only goods and services traded between entities or sold to end consumers are included.

The main services of media buying agencies and representative firms include media buying services, media planning services, media representative firms, and other services.Media buying is a technique used in sponsored marketing campaigns.

The goal is to discover and purchase ad space on channels relevant to the target demographic at the best possible price and at the best possible time. The services are available in various modes such as offline and online and are used by BFSI, consumer goods and retail, government and public sector, IT and telecom, healthcare, and media and entertainment.

The regions covered in this report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East and Africa.

An increasing number of political events, sports events, festivals, and high budget movies is anticipated to contribute to the demand for media buying agencies and representative firms’ market.For instance, for the 2020 US presidential elections, the Democratic Party has released ads in 14 Indian languages to encourage the voters of Indian origin.

The 2020 US election campaigns broke all records, with presidential and congressional candidates spending about $14 billion in total, more than doubling the cost in 2016.In 2020, Burning Man, one of the biggest global music fests hosted 70,000 people across the globe in Nevada, US, allowing advertisers to reach a large target audience at a time.

Therefore, crowd gathering occasions like political events, sports events, and festivals are driving the media buying agencies and representative firms market.

Media buyers using Artificial Intelligence (AI) for media optimization is gaining significant popularity in the media buying agencies and representative firms market.AI is changing the way advertising operations are run.

According to Salesforce’s sixth State of Marketing study, 84% of marketers are utilising AI for marketing in 2019.These same marketers are also discovering more opportunities to leverage AI in their business, with an average of seven use cases identified in 2019.

In August 2021, BLKBOX.ai, a Facebook advertising management platform, has launched an Intelligent Media Buying Platform, allowing businesses to scale profitably. Their SaaS-based intelligent and automated media buying platform generates profitable campaigns and scales ad spend threefold while cutting the time required to manage end-to-end media buying from six hours to six minutes. The platform enables big organisations, major corporations, and small and medium-sized businesses (SMBs) to expedite their digital campaigns by requiring only three inputs: creative assets, budget and KPIs.

The COVID-19 uncertainty is likely to limit the growth of media buying agencies and representative firms.The strict restrictions on the movement of people and lockdowns have impacted many industries including out of home (OOH) and print advertising.

For instance, lockdown in India started from March 25, 2020, and extended for more than five months. During the lockdown, only essential commodities and medical emergency services were permitted to operate. 90% of the advertising work in India was affected due to the COVID pandemic according to The Association of Advertising Producers’ (ASAP) report. The advertisement spending also declined by 9% in Europe, 7% in Germany, and 12% in France. According to Interactive Advertising Bureau (IAB), almost 24% of media buyers and planners had kept their spending on hold till the end of the second quarter of 2020 while 46% said that they have adjusted their spending across the same period. Therefore, the COVID-19 pandemic is a major factor restraining the growth of media buying agencies and representative firms market.

In August 2021, TAKUMI, a Japan based marketing, branding, and social media platform acquired Unieed for an undisclosed amount.With this acquisition, TAKUMI broadened global paid media offerings while also expanding the paid media team in both the London and New York offices.

Unieed is a UK based content and strategic media-buying agency specialized in content-driven campaigns worked with leading outdoor and cycling brands.

The countries covered in the media buying agencies and representative firms market are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK and USA.

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