eMarketer: US digital video ads set for huge growth

US digital video ad spend will grow by double-digits annually through 2020, as TV spend increases “modestly”, according to eMarketer.

The research firm predicts that digital video ad spend in the US will increase by 28.5% year-on-year in 2016 to reach US$9.84 billion.

It will then grow by a further 19.2%, 14.2% and 13.1% in 2017, 2018 and 2019 respectively with spending due to reach US$16.69 billion in 2020. 

By comparison TV ad spend in the US is tipped to increase by just 2.5% this year, coming in at US$70.60 billion. Over the following years it will grow each year by 2.0% and 2.5% alternately, according to the research.

Despite this, TV “will remain dominant”, said eMarketer, with total TV ad spending reaching $77.17 billion in 2020, more than quadruple the US$16.69 billion ad spend for digital video.