annualmarketingreport.nielsen.com2023 Nielsen Annual Marketing Report |

Nielsen Nielsen Solutions ▼ Audience measurement Audio measurement Cross-media measurement Digital measurement Streaming measurement TV measurement Media planning Audience segmentation Competitive intelligence Scenario planning Marketing optimization Marketing outcomes Sports & games Content metadata Audio metadata Sports metadata Video metadata Featured Nielsen One Media is more complex than ever. Discover the future of cross-media measurement with Nielsen ONE. Insights ▼ Type Articles Case Studies Perspectives Podcasts Reports Videos Webinars Topic Advertising Audiences Digital & technology Marketing performance Media Sports & gaming TV & streaming Featured Top 10 rankings Explore what consumers are watching, playing and listening to around the world. Data Center ▼ Featured Data The Gauge™ – U.S. Top 10 – U.S. Top Trends – Denmark Top Trends – Germany Women’s World Cup Men’s World Cup Methodology Big Data Panels Identity About ▼ Overview Locations Leadership SEC Filings Careers Focus Diversity, equity & inclusion Responsibility & sustainability Panels Privacy Trust News Center Press releases Articles Press requests en English Español Português Brasileiro 中文 (简体) 日本語 Italiano Deutsch Français 한국어 Bahasa Indonesia Polski Contact Us Solutions All Solutions Audience measurement Media planning Marketing optimization Content metadata Nielsen One Insights All Insights Articles Case Studies Perspectives Podcasts Reports Videos Webinars Top 10 Data Center Data Center The Gauge TM – U.S. Top 10 – U.S. Top Trends – Denmark Top Trends – Germany Women’s World Cup Men’s World Cup Big Data Panels Identity About Overview Our values News Center Careers Trust Search Client Login en English Español Português Brasileiro 中文 (简体) 日本語 Italiano Deutsch Français 한국어 Bahasa Indonesia Polski Contact Us The need for consistent measurement in a digital-first landscape Access the full report Few changes in the media industry are as defining as audiences’ relationship with television. And the latest evolution capturing audiences’ attention is streaming services, smart TVs, and the content they support. In the U.S. alone, Americans watched 19 million years worth of streaming content in 2022 . So, naturally, brands have adjusted their media strategies: 84% of global marketers say they include streaming channels in their media plans. The catch? Less than half believe this spending is effective. In December of 2022, we surveyed 1,524 global marketing professionals to understand how they feel about changing viewing behaviors, the rise of streaming and CTV, and solutions for tracking and proving campaign impact. Here are four key survey insights: 1 Recession or not, marketers expect ad budgets to grow Despite 69% of global marketers saying economic conditions had a big impact on planning, 64% expect their budgets to grow. 2 Streaming is the future, but value remains unclear 84% of global marketers include streaming in their media planning. Less than half, however, view this spending as effective. 3 ROI confidence is lowest across digital channels Only 54% of marketers are confident in ROI measurement across digital channels. 4 Multiple measurement tools could be hurting confidence 62% of marketers use multiple measurement solutions to achieve a comprehensive look at marketing performance, which may be contributing to the lack of confidence. Success! Keep scrolling to access Nielsen’s 2023 Annual Marketing Report. Want to save these insights? Get your PDF Introduction Insight #1 Insight #2 Insight #3 Insight #4 Recommendations Insight #1 Digital spend edges out other channel investments For marketers, 2023 was assumed to be an uncertain year, with 69% surveyed for this report saying that the economic conditions had an impact on their planning. Still, 64% expect their ad budgets to increase this year, with 13% even expecting increases of 50% or more. Much of that growth can be attributed to CTV and streaming. Anticipated budget changes of 50% or more throughout the year Anticipated CTV/OTT spending aligns with global trends we’ve been tracking. In the U.S., 2022 digital video ad spend was up 171% from 2020. Across Puerto Rico, Mexico and Brazil, digital ad spend increased 228% * between 2021 and 2022 for a total of US$24.5 billion, with 58% (US$14.2 billion) allocated to digital video. In France, Denmark and the U.K., internet-based video spend increased from US$2.3 billion in the first three quarters of 2020 to US$4.2 billion USD in 2022. *The data reported is derived from the increased coverage of our Ad Intel measurement, which shows greater visibility of actual spending on digital vehicles. (1) Digital activity reporting in Brazil starts in January 2022. (2) PPP and social activity reporting in Puerto Rico starts in May 2022. Insight #2 Global ad budgets lean into CTV The increased spend across online video reflects audiences’ shift to streaming in particular. In the U.S., Americans watched more than 19 million years’ worth of streaming content in 2022. In Mexico, streaming grew to account for 15.2% of total TV usage as of December 2022. In Thailand, streaming content reaches more than 50% of the TV audience . In Australia, 70% of people 14 and older say they use the internet to stream video. 1 Nielsen Streaming Content Ratings and Nielsen National TV panel 2 The Gauge Mexico 3 Thailand Cross-Platform Ratings 4 Australia Consumer and Media View, Q4 2022 Naturally, global marketers are refining their media spend: On average, 32% report allocating 40%-59% of their budgets to CTV, and nearly one-fifth (19%) report shifting 60%-79%. Global ad budgets are shifting to CTV Zenith Media forecasts that global online video ad spending will grow at a compound annual growth rate (CAGR) of 4.8% through 2025 to account for 30% of the overall ad market. The company expects advertising on subscription video on demand (SVOD) services to grow at a CAGR of 27.9% to reach US$13.1 billion by 2025. This is massive momentum. And yet, according to global marketers, the perceived effectiveness of their CTV/streaming investments is just 49%. Perceived effectiveness of digital spending by channel Insight #3 Confidence is low for holistic ROI measurement Measurable returns will always help marketers make tactical investment decisions, but cross-media ROI measurement challenges have more than half of global marketers (52% on average) focused only on reach and frequency metrics. Marketers’ approach to cross-media measurement Global average APAC EMEA North America Latin America We are solely focused on reach/frequency We are focused on both reach/frequency and ROI We are solely focused on reach/frequency We are focused on both reach/frequency and ROI We are solely focused on reach/frequency We are focused on both reach/frequency and ROI We are solely focused on reach/frequency We are focused on both reach/frequency and ROI We are solely focused on reach/frequency We are focused on both reach/frequency and ROI One potential cause for the simplified focus is under-utilized marketing technology (martech). Gartner’s 2022 Marketing Technology Survey Insights found that marketers aren’t using their tools as well as they could be: Only 42% of survey respondents said they use the full breadth of their martech capabilities, down from 58% in 2020. Untapped martech could also explain the gap between marketers’ stated belief in their martech’s ability to measure aggregate ROI (69%) and their reported ROI confidence at the individual channel level, which is much lower. Confidence in ROI measurement by channel Insight #4 Channel-specific tools don’t paint the full performance picture Shaky ROI confidence isn’t all untapped martech’s fault. Several other factors are at play in a crowded media landscape, including: Many don’t equate campaign success with on-target reach Read more On average, 40% of global marketers don’t believe understanding cross-platform reach is important when assessing whether campaigns reach...