MAM
Internet advertising to overtake television in 2018: Zenithoptimedia
MUMBAI: Even as desktop internet advertising continues to grow, it is slated to lose market share for the first time this year, dropping from 19.8 per cent of global adspend in 2014 to 19.4 per cent according to ZenithOptimedia’s new Advertising Expenditure Forecasts.
By 2017, ZenithOptimedia forecasts desktop internet to account for 19.1 per cent of global adspend. Meanwhile, mobile internet advertising’s share of the global ad market will rise from 5.7 per cent in 2014 to 15 per cent in 2017. Overall, internet advertising will account for 34 per cent of global adspend in 2017, slightly behind television’s 35.9 per cent.
The market share gap between the two media will narrow from 13.3 percentage points in 2014 to 1.9 in 2017. At this rate of growth, internet advertising will overtake television in 2018.
On the other hand, print adspend continues to decline across most of the world, as it has done since 2008. The report predicts that newspaper adspend will shrink by an average of 4.9 per cent a year through to 2017, while magazine advertising will shrink by 3.2 per cent a year. Their combined share of global adspend has fallen from 39.4 per cent in 2007 to 19.6 per cent this year, and we expect it to fall further to 16.7 per cent by 2017.
Mobile advertising to overtake newspapers in 2016:
Mobile internet advertising will overtake newspaper advertising next year, accounting for 12.4 per cent of global adspend while newspapers account for 11.9 per cent, according to ZenithOptimedia.
Mobile internet will be the third-largest advertising medium, behind television and desktop internet. Mobile advertising will grow 38 per cent in 2016 to $71billion, while newspaper advertising will shrink four per cent to $68 billion.
Mobile advertising remains the driving force behind the growth of the entire advertising market, contributing 83 per cent of all new ad dollars between 2014 and 2017.
Global adspend to grow 4.0 per cent in 2015
ZenithOptimedia forecasts that global adspend will grow four per cent to reach $554 billion in 2015, and will accelerate to five per cent growth in 2016, boosted by the 2016 Summer Olympics in Rio and the US Presidential elections. Adspend will then slow down slightly in the absence of these events, growing 4.4 per cent in 2017.
Mature Markets to lead adspend growth for the first time in nine years
ZenithOptimedia has reduced its forecasts for adspend growth in 2015 since its June forecast by 0.2 percentage points. There has been broad-based deceleration across the world as marketers have moderated their expectations of global economic growth. With Brazil and Russia in recession, and China slowing down, the world can no longer rely on emerging markets to set the pace of growth. The agency expects ‘Mature Markets’ (defined as North America, Western Europe and Japan) to contribute more to global adspend growth this year than ‘Rising Markets’ (everywhere else), for the first time since 2006. The agency says that this is a temporary aberration, however – Rising Markets will become the leading contributors to ad market growth again in 2016, and will increase their market share from 37.4 per cent in 2015 to 38.8 per cent in 2017.
China slows but is still growing twice as fast as the world as a whole
China’s ad market has not been substantially affected by the turmoil in its stock market, but the slowing economy and concerns about the potential for future growth have caused advertisers to moderate their spending slightly. The report forecasts adspend growth in China to fall from 10.5 per cent in 2014 to 7.8 per cent in 2015 – a rate of growth that’s still twice as fast as the global ad market’s, and which places China as the 13th – fastest growing ad market of the 81 that the agency covers.
Low oil prices weigh on big producers
While beneficial for the global economy – and the ad market – as a whole, low oil prices are depressing activity in the big oil producers. The report forecasts double-digit declines in adspend this year in Azerbaijan, Nigeria and the United Arab Emirates, and declines of seven – eight per cent in Kuwait and Saudi Arabia. In Russia, the problem of low oil prices has been exacerbated by international sanctions, leading to an estimated 14.1 per cent drop in adspend this year.
“Mobile technology is rapidly transforming the way consumers across the world live their lives, and is disrupting business models across all industries. We are now witnessing the fastest transition of ad budgets in history as marketers and agencies scramble to catch up with consumers’ embrace of the mobile way of life,” said ZenithOptimedia worldwide CEO Steve King.
Brands
YES Bank hands the keys to SBI veteran Vinay Tonse as it bets on a new era
Former SBI managing director appointed as YES Bank’s new MD and CEO
MUMBAI: YES Bank is done rebuilding. Now it wants to grow. The private sector lender has appointed Vinay Muralidhar Tonse as managing director and chief executive officer-designate, with RBI approval secured and a start date of April 6, 2026 confirmed. The three-year term signals the bank’s intent to shift gears from crisis recovery to full-throttle expansion.
Tonse, 60, is no stranger to scale. Most recently managing director at State Bank of India, he oversaw a retail book of roughly $800bn in deposits and advances, one of the largest in the country. Before that, he ran SBI Mutual Fund from August 2020 to December 2022, a stint that saw assets under management surge from Rs 4.32 lakh crore to Rs 7.32 lakh crore across market cycles. Add stints in Singapore and four years leading SBI’s overseas operations in Osaka, and the incoming chief arrives with a genuinely global CV.
His academic grounding is equally solid: a commerce degree from St Joseph’s College of Commerce, Bengaluru, and a master’s in commerce from Bangalore University.
The appointment follows an extensive search and evaluation process by the bank’s Nomination and Remuneration Committee. NRC chairperson Nandita Gurjar said the committee unanimously backed Tonse, citing his leadership track record, governance credentials and ability to drive the bank’s next phase of transformation.
Non-executive chairman Rama Subramaniam Gandhi was unequivocal. “I am certain that Vinay Tonse, with his vast experience as a senior banker, will propel YES Bank to its next phase of growth,” Gandhi said, adding that the bank remains focused on strengthening its retail and corporate banking franchises and expanding its branch network.
Rajeev Kannan, non-executive director and senior executive at Sumitomo Mitsui Banking Corporation, the bank’s largest shareholder, said Tonse’s experience across retail, corporate banking, global markets and asset management positioned him well to lead the lender. SMBC said it looks forward to working with Tonse and the board as YES Bank pursues its ambition of becoming a top-tier private sector lender anchored in strong governance and sustainable growth.
Tonse succeeds Prashant Kumar, who took the helm in March 2020 when YES Bank was in freefall following a severe financial crisis, and spent six years painstakingly stabilising the institution, rebuilding governance and restoring operational scale. Gandhi was generous: “The bank remains indebted to Prashant Kumar, who is responsible for much of what a strong financial powerhouse YES Bank is today.”
Tonse, for his part, struck a purposeful note. “Together with the board and my colleagues, I remain deeply committed to creating long-term value for all our stakeholders,” he said, pledging to build on Kumar’s foundation guided by his personal motto: Make A Difference.
Beyond the balance sheet, Tonse played cricket at college and club level and represented Karnataka in archery at the national championships — sports he credits with teaching him teamwork, situational leadership, discipline and focus. In quieter moments, he reaches for retro Kannada music, classic Hindi songs, and the crooning of Engelbert Humperdinck, Mukesh and Kishore Kumar.
YES Bank has its steady-handed rebuilder in Kumar to thank for survival. Now it has a scale-obsessed growth banker at the wheel. The next chapter starts April 6.
