Ad Spend Forecasts - Canada

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01
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Part
01

Ad Spend in Canada - Provinces

The total media ad in Canada is projected to reach $12.7 billion by 2020. According to eMarketer expects, print media is going to account for 11 percent of total ad spending in 2020.

KEY FINDINGS

  • Alberta's NDP government spent $10 million on an Alberta advertising campaign.
  • According to Statista, Canada's digital ad spending is expected to decline in 2020 from 7% in 2018 to 6.1%.
  • The ad spending in Canada will remain strong in 2020, with experts projecting that ad spending in Canada will grow by up to 5.1% at the beginning of 2020.
  • According to eMarketer expects, print media is going to account for 11 percent of total ad spending through 2020.
  • The province of Alberta has spent $23.04 million on pipeline ads. "The $23.04-million campaign includes $6.6 million for television, $158,000 for radio and $510,000 for newspapers. The other $16.1 million is being spent on internet ads, billboards and ad agencies."

Breakdown of projected Ad Spend in Canada by channels

The total media ad in Canada is projected to reach $12.7 billion by 2020.
  • Digital: $6.8 billion, of which $5.2 billion is predicted to come from mobile
  • TV : $2.5 billion
  • Radio : $1.3 billion
  • Newspaper : $1.2 billion
  • Magazine : $305 million
  • Out of home : $636 million

Research strategy

While our search brought no readily available information predicted ad spend in Canada broken down by provinces for the year 2020, we were able to provide the projected total media ad spend in Canada for 2020.

To provide the predicted ad spend in Canada broken down by provinces for the year 2020, we commenced by reviewing press releases and market reports such as Statistic, Forbes, IBIS world and many more. We aimed to find a source with a break down of Canadian ad spend by provinces for the year 2020. This strategy provided the total ad spend in Canada but nothing regarding ad spend by provinces was disclosed.

Next, our team reviewed the Canadian government databases to provide the predicted ad spend in Canada broken down by provinces for the year 2020. We search through statistics Canada, Open Government, Government of Canada and many more. We reviewed these databases because they are known to provide statistical information regarding Canada. Again, these databases only provided data relating to the current ad spend in Canada and nothing specific to the break down by provinces for the year 2020.

As our last option, we tried triangulating the predicted ad spend in Canada broken down by provinces for the year 2020 by searching through the different provinces in Canada. We wanted to find the predicted ad spend for each province in the country and sum the amount together. Our teamed reviewed Canadian provinces such as Ontario, Quebec, Alberta, Nova Scotia and many more. We found that, Alberta's NDP government spent $10 million on an Alberta advertising campaign. Unfortunately, our team could not find details on the predicated ad spend by each province in Canada. This information could not be found because it was not publicly available.
Part
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Part
02

Ad Spend in Canada - Verticals

The calculated automotive vertical ad spend in Canada for the year 2020 is USD$16.17 billion or CAD$21.54 billion.

PREDICTED AD SPEND IN CANADA BY VERTICAL IN 2020

Automotive Vertical

  • According to Zenith Media, Canada is one of the top 10 auto ad markets across the globe, with USD$11 billion in ads spend in 2019 and a 47% year-on-year growth from 2018-2020.

ADDTIONAL RELEVANT INFORMATION

Predicted Ad Spend in Canada in 2020

  • According to Statista, Canada's digital ad spending is expected to decline in 2020 from 7% in 2018 to 6.1%.
  • Additionally, Canada's mobile ad spending is expected to increase in 2020 from CAD$3.69 billion in 2017 to CAD$7.1 billion.
  • The ad spending in Canada will remain strong in 2020, with experts projecting that ad spending in Canada will grow by up to 5.1% at the beginning of 2020.
  • In 2019, TV ad expenditure is projected to decline by 0.1%; however, it will grow back in 2020 at a 0.6% rate.
  • The CCO of Dentsu Aegis Network Canada, Hisham Ghostine, revealed that with the Cannabis industry entering the Canadian market, the growth in ad spend will be steady. He added that while the different verticals of ad spend will go through some changes, in industries like retail, financial services, and entertainment, it will continue to grow.
  • The Global Ad Spend Forecasts report by Dentsu Aegis Network, expects Canada's ad spend to rise from 2.7% to 5.3% in 2019, thanks to the strong market growth of travel and telecommunication.

Predicted Ad Spend in Canada by Formats in 2020

RESEARCH STRATEGY

While our initial search brought no readily available information, we were able to calculate the predicted automotive vertical ad spend in Canada by 2020 using the country's 2019's ad spend of automotive vertical and the year to year CAGR of ad spend. As it was presented in American dollars, we converted the currency to Canadian dollars after our calculation.

CALCULATION

2019's ad spend of automotive vertical in Canada was multiplied by the year to year CAGR of the ad spend to obtain the predicted automotive vertical ad spend in Canada by 2020: USD$11 billion X 47% = USD$16.17 billion USD or CAD$21.54 billion.

We were unable to find the predicted 2020 ad spend in Canada for other verticals and provide their actual projected dollar amount for advertising spending and what percentage increase it represents. However, we were able to find the predicted automotive ad spend in Canada in 2020 and other helpful insights.
During our research, we started by looking for data like graphics or lists, that predicted Canada's ad spend broken down by verticals and projections for 2020. We expected that, as advertisement spending details are becoming more public in geographical locations like the US and the UK, Canada would be doing the same. We searched through articles, news reports, journals, statistics reports, and more. Unfortunately, while we found information about the predicted 2020 ad expenditure broken down by verticals from other countries, there was no direct data about Canada's ad spend by verticals.
Next, we refocused our search on reports of Canada's verticals and industries. We planned that by being more specific in our search, we could obtain results from each precise industry and its advertising expenses. We searched the list of industries in Canada that have records of advertising expenditure and learned that these verticals are retail, automotive, financial services, telecommunication, CPG, travel, consumer electronics, media, entertainment, and healthcare. Then, we looked through industry-based analysis of each vertical and future trends, as these may contain the predicted ad spend of the industry. However, while we found the future trends of the industries and the data points we needed to calculate the automotive vertical's ad spend, we were unable to find the predicted ad spend for the rest of the verticals.
Lastly, we tried to triangulate the requested information by getting details about the data points, which makes up the ad spend of a vertical as a whole. Our initial plan was to locate digital, mobile, print, email, decals, website optimization, and try to get the predicted spend for 2020. Using the following sample format:

"ABC" VERTICAL
  • In Canada, the predicted digital ad spend for ABC vertical in 2020 is $XXX million.
  • In Canada, the predicted mobile ad spend for ABC vertical in 2020 is $XXX million.
  • In Canada, the predicted print ad spend for ABC vertical in 2020 is $XXX million.
  • In Canada, the predicted email ad spend for ABC vertical in 2020 is $XXX million.
This way, we would be able to present a more detailed breakdown of the ad spend per vertical instead of just providing a general predicted amount for 2020. During our research, we found the digital and mobile ad spend and the predicted 2020 ad spend from Canada broken down by formats, medium, and region. However, the information was general to the country and not to a specific vertical. There was no available information for its breakdown per vertical, so we couldn't use it to triangulate our answer.
While we could not locate the predicted 2020 ad spend for every vertical in Canada and what percentage of increase it represents, we were able to provide the predicted automotive ad spend in Canada in 2020. We also included additional insights about Canada's ad spend.
Sources
Sources