--- title: The U.S. Advertising Industry in the Era of COVID-19 description: The U.S. advertising industry experienced steady growth through most of the last decade, but COVID-19 is expected to cause a steep drop in revenues. image: https://blog.marketresearch.com/hubfs/Stock%20images/Brand%20Building%20on%20the%20Mechanism%20of%20Metal%20Cogwheels..jpeg --- [![MarketResearch.com](https://blog.marketresearch.com/hs-fs/hub/209482/file-22777923.gif?width=295&height=66&name=file-22777923.gif "MarketResearch.com")](https://www.marketresearch.com/) [Market Research Blog](https://blog.marketresearch.com/) # The U.S. Advertising Industry in the Era of COVID-19 by [Sarah Schmidt](https://blog.marketresearch.com/author/sarah-schmidt), on June 24, 2020 ![advertising industry research](https://blog.marketresearch.com/hs-fs/hubfs/Stock%20images/Brand%20Building%20on%20the%20Mechanism%20of%20Metal%20Cogwheels..jpeg?width=300&name=Brand%20Building%20on%20the%20Mechanism%20of%20Metal%20Cogwheels..jpeg)The U.S. advertising industry experienced steady growth throughout almost the entire decade 2009 through 2019, but the COVID-19 pandemic is expected to bring about a steep, sudden drop in revenues. According to *Advertising Services: United States* by Freedonia Focus Reports, [advertising revenues are projected to decline 18% in 2020](https://www.freedoniafocusreports.com/Content/News/2020/05/12/US-Advertising-Service-Revenues-Set-to-Drop-18-in-2020) as companies deplete cash reserves, cut advertising spending, and delay marketing campaigns. ## 7 Key Facts to Know About the U.S. Advertising Industry **1. Advertising market outlook: **Although 2020 will be a challenging year due to the pandemic and economic shutdowns, a longer-term view offers room for advertising market growth in the coming years. Freedonia analysts expect U.S. advertising service revenues to climb 1.5% yearly through 2024. **2. Market drivers to watch: **The advertising industry is expected to benefit from rising levels of consumer spending that will support corporate profits and the expansion of advertising budgets in the future. In addition, presidential election years in 2020 and 2024 will also drive increased advertising spending. **3. Impact of COVID-19 on advertising: **According to a [survey of 400 media buyers and brands](https://www.forbes.com/sites/martyswant/2020/03/27/marketers-think-covid-19-will-be-worse-for-advertising-than-the-2008-financial-crisis/#697454dd537f), 74% believe the COVID-19 pandemic will have a greater impact on their advertising spend than the 2008 financial crisis. The economic shutdowns related to COVID-19 have devastated a wide swath of industries, including some of the biggest advertising spenders around such as airlines, hotels, car rental companies, travel services, restaurants, and retailers. In addition, the absence of live sporting events will also sharply curtail advertising opportunities. **4. Market segmentation**: The advertising services industry is composed of advertising agencies, public relations agencies, direct mail advertisers, media buying agencies, display advertisers, media representatives, and other establishment types. **5. Largest advertising market segment: **Advertising agencies — the largest and fastest growing segment — has a projected growth rate of 2.9% through 2024. This segment is strongly positioned due to its diversified offerings and integrated advertising services, which include rapidly expanding marketing channels such as podcast and influencer-based advertising. Advertising agencies increasingly offer data-driven marketing campaigns designed to understand and target consumers, and these offerings are particularly attractive to companies looking to demonstrate ROI.        **6. Advertising industry trends**: Over the last decade, the advertising industry has seen a rise in the use of digital channels, including the internet, social media, and music and video streaming services. However, digital advertising faces the [challenges of ad blockers](https://blog.marketresearch.com/ad-blockers-what-can-publishers-do), which prevent ads on webpages from displaying, and concerns about fraud. As digital has gained strength, print has waned, including newspapers, magazines, and directories that no longer attract the same level of ad spending. **7. Leading advertising companies: **The top three participants in the U.S. advertising services include the following: - [**Omnicom**](https://www.omnicomgroup.com/): a leading global advertising, marketing, and corporate communications company - [**Lamar Advertising**](http://www.lamar.com/): a real estate investment trust that leases space for advertising on billboards, buses, shelters, benches, and in airport terminals - **[WPP](https://www.wpp.com/): **A global communication services business focused on advertising and media, public relations and public affairs, branding, and health & wellness and specialist communications ## Where to Learn More For a more complete and detailed assessment of the advertising industry, see [**A*dvertising Services: United States***](https://www.marketresearch.com/Freedonia-Focus-v3334/Advertising-Services-United-States-13209515/?progid=91651) published in May 2020 by Freedonia Focus Reports, a leading market research firm and division of MarketResearch.com. Packed with data and insights, this report covers the market environment, including historical trends, key economic indicators, advertising expenditures, and regulatory factors. The report also discusses segmentation & forecasts, industry characteristics, and market leaders. ## About Freedonia Focus Reports Published in 20-30 pages, Freedonia Focus Reports provide fresh, unbiased analysis on a wide variety of markets and industries.   Analysis is intended to guide the busy reader through pertinent topics in rapid succession, including: - total historical market size and industry output - segmentation by products and markets - identification of market drivers, constraints, and key indicators - segment-by-segment outlook in five-year forecasts - a survey of the supply base - suggested resources for further study Browse through [the latest Focus Reports on MarketResearch.com](https://www.marketresearch.com/Freedonia-Focus-v3334/?progid=91651). --- **About the Author: **Sarah Schmidt is a Managing Editor at MarketResearch.com, a leading provider of global market intelligence products and services. Topics: [Advertising](https://blog.marketresearch.com/topic/advertising) [Industry Insights](https://blog.marketresearch.com/topic/industry-insights) [The Freedonia Group](https://blog.marketresearch.com/topic/the-freedonia-group) - [Tweet](https://twitter.com/share) [![Pet Market Bulletin: Assessing Coronavirus Pandemic Impacts on the Pet Industry](https://no-cache.hubspot.com/cta/default/209482/66597665-0972-4c5e-9755-55b5656fd5f6.png)](https://cta-redirect.hubspot.com/cta/redirect/209482/66597665-0972-4c5e-9755-55b5656fd5f6) Search Blog Posts Search ### About This Blog Our goal is to help you better understand your customer, market, and competition in order to help drive your business growth. ### Subscribe ### Popular Posts - [5 Keys to Conducting a Market Opportunity Analysis](https://blog.marketresearch.com/5-keys-to-conducting-a-market-opportunity-analysis) - [6 Ways to Differentiate Your Business from the Competition](https://blog.marketresearch.com/6-ways-to-differentiate-your-business-from-the-competition) - [7 Growing Industries to Watch in 2019](https://blog.marketresearch.com/7-growing-industries-to-watch-in-2019) - [5 Steps to Estimate Your Market Size](https://blog.marketresearch.com/5-steps-to-estimate-market-size) - [Primary Data vs. Secondary Data: Market Research Methods](https://blog.marketresearch.com/not-all-market-research-data-is-equal) ### Recent Posts ### Posts by Topic - [Industry Insights (950)](https://blog.marketresearch.com/topic/industry-insights) - [Market Research Strategy (276)](https://blog.marketresearch.com/topic/market-research-strategy) - [Food & Beverage (140)](https://blog.marketresearch.com/topic/food-beverage) - [Healthcare (139)](https://blog.marketresearch.com/topic/healthcare) - [The Freedonia Group (121)](https://blog.marketresearch.com/topic/the-freedonia-group) - [How To's (110)](https://blog.marketresearch.com/topic/how-tos) - [Market Research Provider (98)](https://blog.marketresearch.com/topic/market-research-provider) - [Manufacturing & Construction (90)](https://blog.marketresearch.com/topic/manufacturing-construction) - [Pharmaceuticals (89)](https://blog.marketresearch.com/topic/pharmaceuticals) - [Packaged Facts (78)](https://blog.marketresearch.com/topic/packaged-facts) - [Telecommunications & Wireless (74)](https://blog.marketresearch.com/topic/telecommunications-wireless) - [Heavy Industry (72)](https://blog.marketresearch.com/topic/heavy-industry) - [Software & Enterprise Computing (68)](https://blog.marketresearch.com/topic/software-enterprise-computing) - [Transportation & Shipping (64)](https://blog.marketresearch.com/topic/transportation-shipping) - [Energy & Resources (60)](https://blog.marketresearch.com/topic/energy-resources) - [Retail (60)](https://blog.marketresearch.com/topic/retail) - [Marketing (58)](https://blog.marketresearch.com/topic/marketing) - [Profound (57)](https://blog.marketresearch.com/topic/profound) - [Medical Devices (55)](https://blog.marketresearch.com/topic/medical-devices) - [House & Home (53)](https://blog.marketresearch.com/topic/house-home) - [Materials & Chemicals (53)](https://blog.marketresearch.com/topic/materials-chemicals) - [Pets (50)](https://blog.marketresearch.com/topic/pets) - [Consumer Electronics (47)](https://blog.marketresearch.com/topic/consumer-electronics) - [Public Sector (43)](https://blog.marketresearch.com/topic/public-sector) - [Biotechnology (41)](https://blog.marketresearch.com/topic/biotechnology) - [E-commerce & IT Outsourcing (40)](https://blog.marketresearch.com/topic/e-commerce-it-outsourcing) - [Business Services & Administration (39)](https://blog.marketresearch.com/topic/business-services-administration) - [Diagnostics (38)](https://blog.marketresearch.com/topic/diagnostics) - [Demographics (37)](https://blog.marketresearch.com/topic/demographics) - [Education (36)](https://blog.marketresearch.com/topic/education) - [Custom Market Research (35)](https://blog.marketresearch.com/topic/custom-market-research) - [Travel & Leisure (34)](https://blog.marketresearch.com/topic/travel-leisure) - [Academic (33)](https://blog.marketresearch.com/topic/academic) - [Financial Services (32)](https://blog.marketresearch.com/topic/financial-services) - [Media (32)](https://blog.marketresearch.com/topic/media) - [Computer Hardware & Networking (30)](https://blog.marketresearch.com/topic/computer-hardware-networking) - [Simba Information (24)](https://blog.marketresearch.com/topic/simba-information) - [Kalorama Information (21)](https://blog.marketresearch.com/topic/kalorama-information) - [Cosmetics & Personal Care (19)](https://blog.marketresearch.com/topic/cosmetics-personal-care) - [Knowledge Centers (19)](https://blog.marketresearch.com/topic/knowledge-centers) - [Apparel (18)](https://blog.marketresearch.com/topic/apparel) - [Market Research Subscription (16)](https://blog.marketresearch.com/topic/market-research-subscription) - [Social Media (16)](https://blog.marketresearch.com/topic/social-media) - [Advertising (14)](https://blog.marketresearch.com/topic/advertising) - [Big Data (14)](https://blog.marketresearch.com/topic/big-data) - [Holiday (11)](https://blog.marketresearch.com/topic/holiday) - [Emerging Markets (8)](https://blog.marketresearch.com/topic/emerging-markets) - [SEO (8)](https://blog.marketresearch.com/topic/seo) - [Artificial Intelligence (5)](https://blog.marketresearch.com/topic/artificial-intelligence) - [medical (4)](https://blog.marketresearch.com/topic/medical) - [generative AI (2)](https://blog.marketresearch.com/topic/generative-ai) - [mining (2)](https://blog.marketresearch.com/topic/mining) - [Agriculture (1)](https://blog.marketresearch.com/topic/agriculture) - [Associations (1)](https://blog.marketresearch.com/topic/associations) - [Religion (1)](https://blog.marketresearch.com/topic/religion) - [coaching (1)](https://blog.marketresearch.com/topic/coaching) - [electricity (1)](https://blog.marketresearch.com/topic/electricity) - [refineries (1)](https://blog.marketresearch.com/topic/refineries) - [space battery (1)](https://blog.marketresearch.com/topic/space-battery) [see all](https://blog.marketresearch.com/the-u.s.-advertising-industry-in-the-era-of-covid-19#) ### Contact **MarketResearch.com** 6116 Executive Blvd Suite 550 Rockville, MD 20852 800.298.5699 (U.S.) +1.240.747.3093 (International) [customerservice@marketresearch.com](mailto:customerservice@marketresearch.com) ### From Our Blog ### Subscribe to Blog ### CONNECT WITH US [![LinkedIn](https://static.hsappstatic.net/social_shared/static-2.2815/img/followme/icon_linkedin.png)](http://www.linkedin.com/company/marketresearch) [![Twitter](https://static.hsappstatic.net/social_shared/static-2.2815/img/followme/icon_twitter.png)](https://twitter.com/MarketResearch_) [![Facebook](https://static.hsappstatic.net/social_shared/static-2.2815/img/followme/icon_facebook.png)](https://www.facebook.com/MarketResearchDotCom) [![YouTube](https://static.hsappstatic.net/social_shared/static-2.2815/img/followme/icon_youtube.png)](https://www.youtube.com/user/MarketResearchDotCom) [![Pinterest](https://static.hsappstatic.net/social_shared/static-2.2815/img/followme/icon_pinterest.png)](https://www.pinterest.com/mrktresearch/) ```json { "@context" : "https://schema.org", "@type" : "BlogPosting", "author" : { "@type" : "Person", "name" : "Sarah Schmidt", "url" : "https://blog.marketresearch.com/author/sarah-schmidt" }, "dateModified" : "2020-06-24T13:15:00.193Z", "datePublished" : "2020-06-24T13:15:00.000Z", "headline" : "The U.S. Advertising Industry in the Era of COVID-19", "image" : [ "https://blog.marketresearch.com/hubfs/Stock%20images/Brand%20Building%20on%20the%20Mechanism%20of%20Metal%20Cogwheels..jpeg" ], "mainEntityOfPage" : { "@id" : "https://blog.marketresearch.com/the-u.s.-advertising-industry-in-the-era-of-covid-19", "@type" : "WebPage" }, "publisher" : { "@type" : "Organization", "logo" : { "@type" : "ImageObject", "url" : "https://blog.marketresearch.com/hubfs/Logos/mrdclogo_email.png" }, "name" : "MarketResearch.com, LLC" } } ```