Germany's advertising industry is currently thriving thanks to digital transformation – a trend that has been terraforming the advertising industry on a global scale. Germany is well positioned within Europe as the second-largest market on the continent, showcasing remarkable growth. According to the German Advertising Federation (ZAW), the country’s advertising industry hit a milestone back in 2021 as Germany’s total net advertising revenues climbed to staggering EUR 25.9 billion. This remarkable figure marked an impressive 8.8 percent increase compared to the previous year, signaling a robust and dynamic sector.
The heart of Germany’s market beats through various channels with television, online search and online display ads leading the charge. Television advertising accounted for EUR 4.3 billion in revenues, while online search and online display ads clocked in at EUR 5.2 billion and EUR 5.1 billion, respectively. It’s the digital realm, however, that emerged as the uncontested winner as it boasted EUR 15.3 billion in advertising income. Here we’re counting search, display, digital print, classifieds, and streaming.
While Germany has made significant strides in the digital advertising arena, it still finds itself in a race to catch up with global trends. Globally, digital advertising commands a substantial 70 percent share of the market. This data comes from research company eMarketer. In Germany, this figure currently stands at 59 percent, indicating opportunities for further expansion in this area. Still, the trajectory is more than clear. Classical media is expected to retreat further away from the spotlight as digital channels expand over the coming years.
We’re seeing this most clearly in budget allocation. Budgets are shifting from traditional print and television advertising and redirecting their focus towards dynamic digital platforms. More money is being invested in digital out-of-home advertising, digital audio and classical radio. The German advertising community is adapting to a new era of audience engagement.