Healthcare delivery went digital in 2020, and so did healthcare and pharma ad budgets. In fact, 2020 was the only year in which healthcare and pharma overindexed the overall market digital ad spending growth. Digital ad spending in the industry shot up 27.6% to nearly $11 billion as providers, insurers, and pharma companies raced to reach consumers with updates on symptom checkers, office and pharmacy hours, and vaccines. The trend held in 2021 as vaccine rollouts got under way; spending rose by another 26.2%, to $13.86 billion.
The rate of growth will slow now that the pandemic is becoming endemic. We estimate digital ad budgets will keep growing over the next few years, reaching nearly $20 billion in 2024, but not at the pace seen in 2020 and 2021.