Industry Analysis & Industry Trends
The Advertising Agencies industry has grown during the past five years after struggling with heavy falls in revenue. Nevertheless, revenue is expected to remain below the levels recorded prior to the economic downturn, in real terms. Demand for advertising services was adversely affected by weak levels of business confidence, which resulted in firms restricting their marketing budgets. The fall in real disposable income also dampened demand for industry services as pressure on household spending generally reduces the ability of advertising campaigns to attract more customers. However, online advertising revenue grew strongly during the past five years as consumers began accessing more media content online through tablets, smartphones and computers... purchase to read more
Industry Report - Starting a New Business Chapter
On the surface, the barriers to entry into the industry appear minimal. The low concentration indicates that small firms can survive and the low capital intensity suggests low start-up costs. However, some substantial barriers do exist for new firms looking to enter the industry. Therefore, IBISWorld expects the industry to have moderate barriers to entry.
Although industry concentration is low, the many mergers and acquisitions across the marketing sector have brought it up. The largest players are now global giants that can offer fully integrated services across the spectrum of marketing activities. This gives them a significant advantage when attracting large global clients... purchase to read more