Global advertising spend is on course to rise by 8.3% in 2022, but is forecast to slow significantly and increase by only 2.6% in 2023, according to recent research from WARC.

The projections were based on data from 100 ad markets worldwide. The forecasts for 2023 and the rest of 2022 were downgraded from WARC's earlier projections made at the end of 2021 because of cooling economic conditions and the impact of third-party cookie-blocking online.

Among the 18 product sectors monitored by WARC, four are expected to cut spend in 2023: transport and tourism (-0.4%), alcoholic drinks (-1.1%), financial services (-4.5%), and automotive (-12.4%).

Social media ad spend is forecast to grow by 11.5% in 2022 and then slow to just 5.2% in 2023.

Advertising spend on video streaming is set to grow faster than the total ad market both in 2022 (8.4%) and 2023 (7.0%).

TikTok is forecast to see a 41.5% year-over-year increase in spend in 2023, whereas Facebook is forecast to see a 8.6% decline in spend.

About the research: The report was based on data from 100 ad markets worldwide.