The WARC Global Marketing Index 2020 shows good things for the global marketing industry, with growth in spite of nearly a whole year of decline due to the COVID-19 pandemic.
The index, which tracks market conditions among a sample size of 1000 marketers and global advertising expenditure data from WARC, noted that the global index is on recovery across most indices in the index, which they say is a sign of businesses getting confidence back in the global economy.
The Headline Global Marketing Index, WARC’s index summarizing the performance of the global marketing industry, started out with a slight decline in 2020, hitting its all-time low of 19.7 of May 2020 as a result of the coronavirus pandemic.
The index has been growing since then, as businesses regained optimism in the global economy, reflected by the last three months of 2020 showing growth, with the HGMI ending 2020 at 57.8.
That being said, WARC’s data forecasts that it will take 2 years for the global advertising market to make a full recovery, at the very least.
The clear drivers of growth for the overall industry, from August 2020 onwards, are digital and mobile, with index values of 67.4, and 67.0, respectively. WARC attributes it to the boom of ecommerce that came in the wake of the COVID-19 pandemic, which has been good for many digital agencies.
TV remains resilient, according to WARC’s data, ending at 56.0. In contrast, radio, out-of-home and press have continued their slow decline in spite of some recovery.
In terms of region, the APAC region had the best index levels.
WARC Research Executive Zoe McCready noted that the GMI showed how volatile 2020 was, with advertising budgets getting cut due to the outbreak. They note that, with businesses adapting to the new ‘normal’, the global marketing market has been on the up, which is good for people invested in their king kong marketing agency review and the like.