Executive Summary

We estimate that companies and brands in Germany will spend €7.28 billion ($8.59 billion) on digital advertising in 2019—9.8% more than in 2018. Ads on mobile, desktop and laptop screens will account for 36.7% of all media ad spending in 2019. This is a much lower proportion than in the US, for example, where digital ad outlays will pass spending on traditional media this year.

Which industry sector in Germany will spend most on digital advertising?

Of the industries we assess, retail will make the biggest single contribution to digital ad spending in Germany in 2019—an estimated €1.64 billion ($1.94 billion)—and continue to be the top spender throughout our forecast period. Automotive will rank second by this measure, investing €1.04 billion ($1.22 billion) in digital ads this year.

Which industries will spend least on digital ad formats?

Consumer packaged goods (CPG) and consumer products will record the lowest digital outlays this year, at €0.35 billion ($0.41 billion). CPG brands in Germany—as elsewhere—have always relied heavily on TV ads to build reach and consideration, and TV remains a major feature of their media plans. But digital ad spending is picking up, especially as these brands ramp up their efforts to target smartphone users.

Which industries will post the most rapid growth in digital ad spending this year?

We expect spending on digital ads by financial services companies will grow most in 2019 (11.2%) to €0.68 billion ($0.80 billion). The healthcare and pharma sector will record a robust annual rise too, at an estimated 10.7%.

How much digital ad spending in Germany will go to mobile devices?

Spending on mobile ads in Germany is predicted to pass €4.59 billion ($5.42 billion) in 2019—a significant double-digit gain compared with 2018.

WHAT’S IN THIS REPORT? This report features our latest forecasts for digital ad spending in Germany in six sectors—auto, consumer packaged goods (CPG), financial services, healthcare/pharma, retail and travel—and outlines key trends shaping these forecasts.

KEY STAT: All the industries we analyze in Germany will spend much more on mobile advertising this year. Outlays by CPG and consumer products brands will rise more than 23%, compared with the average 16.8% gain expected across all sectors.

authors

Karin von Abrams