A recent Zenith study found the FMCG sector would grow 4.4% growth in 2021 before falling back to 3.7% in 2022 and finally settling at 4.3% in 2023.
In 2020, FMCG’s ad spend fell by 10.7% to a valuation of around $26.7 billion. With companies restoring production capacity and overcoming supply chain issues to meet consumers’ demand for food and drink brands, the FMCG sector is expected to grow by 4.4% through 2021-23.
FMCG ad spend could account for $30 billion in transactions by the end of 2023, up from $28.1 billion, if it maintains the current growth trajectory. TV is likely to benefit most from FMCG’s recovery, accounting for 38.5% of FMCG ad spend across 12 key markets in 2020.
Digital would continue its domination, with a 46.1% share of the FMCG ad market. It would be followed by OOH, magazines, radio, cinema and newspapers.
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