89% of multinational brands have deferred adspend due to COVID-19

New Ideas in MarketingEssential news for marketers, summarised by YouGov
May 13, 2020, 9:52 AM UTC

Global adspend worth $46 billion was studied by the World Federation of Advertisers (WFA).

As per the WFA, 89% of multinational brands have deferred ad spending amid COVID-19. The report states 52% of companies are holding back on adspends for six months and more. Further, global ad budgets are expected to drop 36% over the first half of 2020, and 31% for entire 2020.

Brands deferring on adspend increased by eight percentage points on month on month, while companies holding back spend has risen to 33% points. WFA notes although crisis-response campaigns improved 68% in April, it won’t compensate for the slash in spend.

Adspend for TV is expected to be down 33% globally between January and June. A long-term impact is expected by 92% of companies on the way they operate. However, 84% of them reported driving “digital transformation”.

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