Core, one of Ireland’s largest marketing communications companies, is forecasting that total media spend in Ireland will grow by 10.85% in 2022 to €1.2bn.
Despite having various levels of Covid-19 restrictions in place for significant periods of 2021 which hindered all areas of advertising investments and mediums, 2022 started off in a healthy position with the overall market having grown by 20.5% to €1,112.9 million last year.
Similar to previous years, Core predicts digital and online will deliver the growth in the market across 2022. Despite investment in print media increasing for the first time in five years in 2021 by 2.9%, the continued accelerated growth of the digital sector means the future of print is still likely to decline in 2022 by 4.8%.
“While digital is a common theme that runs through this year’s report, understanding the blend of media and digital with the most effective and creative content is critical to brand growth”
The figures below are contained in Core’s annual ‘Outlook’ report which forecasts spend for 2022 across a variety of media, including Video, Audio, Print, Online and Out-of-Home. The report also outlines some of the key developments and important issues that will impact the sector this year.
A rising digital tide
Core employs a team of 330 people and consists of eight practices: Creative, Data, Investment, Learning, Media (comprising of Mediaworks, Spark Foundry, Starcom and Zenith), Research, Sponsorship and Strategy.
“As the world re-opens, consumers are now choosing their preferred way to be educated, entertained, and empowered in their consumer decisions,” said Aidan Greene, CEO of Core.
“While digital is a common theme that runs through this year’s report, understanding the blend of media and digital with the most effective and creative content is critical to brand growth.”
Key forecasts from Core Outlook 2022:
- The TV market witnessed significant growth in 2021, 21.6% to €259.8 million, showing confidence has returned to the industry.
- This year, Core predicts continued growth in this sector estimating a further 6.3% growth in TV advertising investment to €276.3 million in 2022
- The online video market in the Republic of Ireland increased by 39.4% to €206 million last year
- Facebook, (including Instagram) accounted for 71% of the online video market (for advertising)
- The online video market will continue to grow in 2022 with an increase of 21.3% to €249.9 million, with Meta accounting for 79% of this investment
- Cinema advertising grew 68.2% to €2.17 million in the Republic of Ireland last year – just one third of the volume recorded in 2019
- Cinema ad spend is set to grow by 82.5% to €3.96 million in the Republic of Ireland in 2022
Print & Digital Media
- Investment in print advertising across the ROI increased by 2.9% to €82.6 million last year
- Digital has been increasing year on year since 2020, particularly with national titles in 2021, where ad spend grew 43.2% to €33.5 million
- Core predicts investment in digital media will continue to increase again this year by an estimated 11.6% to €37.4 million, while the investment in print in 2022 is likely to contract by 4.8% to €78.6 million
- Advertising investment across search, social, classified and display grew by 26.2% to €602.9 million in the Republic of Ireland in 2021
- Google and Meta (Facebook and Instagram) continued to be the main beneficiaries of this growth and now account for 85% of online ad spend totalling €512.9 million
- The overall online market will increase by 15.3% to €695.1 million with Google and Meta continuing to grow by 12.6% and 23% respectively in 2022
- Although Meta saw a recent decline (26%) in their share price due to Apple’s IOS update, privacy changes and increased competition – this has yet to really impact Meta’s bottom line with TikTok only accounting for 5% of the Social Media Market
Radio & Digital Audio
- Core is forecasting continued growth across the radio market by 3.2% coming to €112.1 million in 2021
- Digital audio (podcasts and online streaming) investment has seen a significant surge since March 2021 and Core predict this will continue to grow with investment reaching approximately €10.1 million in 2022, up 16.1% on last year
- Investment rose by 17.4% in 2021 to €56.8 million with the Retail and Alcohol accounting for the biggest spending categories in 2021
- In 2022, advertising investment across the OOH sector is expected to increase by 18.8% to €67.5 million – significantly below the €90.7 million recorded in 2019
- Digital OOH formats accounted for approximately one third of total OOH investment last year in both ROI and NI