Advertisers are split on whether they’ll spend less in 2023, according to survey

Red and auburn leaves serve many reminders—that Walgreens is probably selling candy corn, that loved ones are trying to plot holiday gifts for difficult parents, and that corporate America is trying to size up their budgets heading into the new year.

So far, advertisers are split as to whether they’ll spend more in 2023 than they did in 2022, according to a survey released by the World Federation of Advertisers and the media research company Ebiquity.

While 41% of advertisers expect to maintain their 2022 budgets, everyone else is split—29% said they expect a decrease in their budget. The remaining 29% said they expect to see an increase.

The 43 advertisers surveyed account for more than $44 billion in advertising spend. The findings are relevant as advertisers (and uh, everyone else) face a choppy and uncertain economy. Even the International Monetary Fund anticipates that the “worst is yet to come.” Cool!

Other findings:

• 28% of respondents said they’ll increase their share of performance advertising, while 21% said they’ll increase their share of brand advertising.
• When asked about specific channels, 63% said they expect to decrease their spend in print, 59% said they’d decrease spend in linear TV and 46% said they expect to decrease spend in radio. 🪦
• Meanwhile, 67% said they’d increase spending on CTV, and roughly half said they’d up spend on paid social and retail media.

And advertisers want flexibility: 40% of respondents suggested that they would up their share of flexible or biddable buys. Only 9% said they plan to increase their share of upfront commitments.

“With uncertain times ahead, it’s clear that brand advertisers seek more tactical agility in terms of trading and shifting budgets throughout the year, versus annual upfront commitments,” Ruben Schreurs, chief product officer at Ebiquity, wrote to Marketing Brew.—RB