Irish ad market set to grow by 7pc this year

The increase in ad spending will be fuelled by the growing popularity of digital platforms, and boosted by the expected launch of Amazon.ie in the first half of the year.

The media market in the Republic of Ireland increased by 7.7pc to €1.59bn last year, Core has calculated. Itself one of the biggest buyers of advertising space, Core says online media led the growth, with expansions in video, social media and digital audio.

Radio had another year of steady growth, but print media continued to decline.

The TV market had a strong year, with ad revenues up by 3.4pc, reaching €254.8m. Core’s Outlook report says: “2024 proved to be a standout year for TV performance in recent times. Live or scheduled programming took centre stage, driven by major sporting events such as the Paris Olympics, Euro 2024 and the Six Nations.

“Viewership grew across most demographics, with commercial impacts (advertising availability) rising by 2pc-8pc, depending on the audience segment.”

While Core predicts further growth for TV this year, it will be at a slower pace, up 1.7pc. RTÉ is expected to broadcast The Traitors, but there will be fewer global free-to-air sporting events – such as the men’s World Cup in football or rugby.

Broadcasters need to be careful “to avoid cannibalising their viewership on their proprietary platforms”, Core warns, as they increasingly monetise content on YouTube. Advertising spend on the video-sharing platform is projected to rise by 25pc to €88.5m this year.

Digital ad spending grew by over 10pc last year, reaching just over €1bn, which accounts for two-thirds of all ads. Google and Meta, which owns Facebook and Instagram, led the way, accounting for 80pc of the digital spend. This was despite the increased competition from TikTok.

Online video had another strong year, with broadcasters reporting a 25pc increase in revenue to €39.7m. This was driven by live sports events and shows such as Love Island All Stars and Celebrity Big Brother.

The category, which includes social media video, is forecast to grow by 16.9pc to €560.2m this year.

Cinema admissions were up just 1pc last year, as the big screen faces growing competition from streaming platforms. However there was a bounce in the final quarter, up 21pc, due to the release of Gladiator II and Wicked.

Expenditure on cinema ads was up 20pc to €5.5m. Core is expecting further growth this year, up over 8pc to €5.9m.

Radio revenue also grew modestly, up 1.36pc to €157m, while digital audio was up 14pc to €17.9m. Core points out that competition in the market is set to intensify with the launch of an RTÉ app this year, which will offer podcasts and personalised recommendations. It expects radio to grow by 1.7pc, but digital audio to be up by over 12pc.

It was another difficult year for print media, with ad spending down almost 11pc to €68.3m. Revenues for their digital platforms grew by almost 5pc to €30.4m, Core says. It forecasts another 9.5pc drop in print ad revenues this year, but that digital will be up almost 4pc.

“The rapid adoption of AI continues to reshape the Irish advertising landscape,” said Aidan Greene, CEO of Core.

“AI-powered tools are enabling hyper-personalised campaigns, refining audience targeting, and optimising real-time bidding.”

He added: “Overall, AI is transforming the advertising industry, making campaigns more precise, efficient, and impactful; while revolutionising how brands engage with consumers.”