Advertising Agencies in the US - Industry Market Research Report

Going viral: The rising popularity of connected TV ads will be a boon for advertising agencies

Advertising agencies benefitted from rising consumer spending, corporate profit and per capita disposable income in recent years. Despite the outbreak of COVID-19 and falling advertising expenditure in 2020, revenue grew in 2020 as companies demanded creative services for COVID-19-focused marketing campaigns. Industry-wide revenue has been growing at a CAGR of 2.5% over the past five years and is expected to total $73.3 billion in 2023, when revenue will jump by an estimated 0.4% and profit will dip to 6.9%.

Advertising agencies create advertising campaigns for periodicals, newspapers, radio, TV and other media. Through in-house capabilities or subcontracting, ad agencies provide advice, creative services, account management, production of advertising material and media planning and buying (e.g. ad placement).

This report covers the scope, size, disposition and growth of the industry including the key sensitivities and success factors. Also included are five year industry forecasts, growth rates and an analysis of the industry key players and their market shares.