Contribution of Advertising to Turkish Economy Research

Contribution of Advertising to Turkish Economy Research

According to “Contribution of Advertising to Turkish Economy Research”; 

1 TL advertising and media investment made in Turkey in 2020 created 19.4 TL value in National Income.

In 2020, the total contribution of advertising and media investments to the economy amounted to 340 billion TL with 6.73 percent.

Digital Marketing Communication Platform (DPIP), established by four associations that shape the marketing communication and advertising industry - Turkish Advertisers Association (RVD), Turkish Association of Advertising Agencies (RD), Interactive Advertising Bureau Turkey (IAB TR) and Mobile Marketing Association Turkey (MMA TR) - announced the results of the research “The Contribution of Advertising to the Turkish Economy”. The Research which is conducted for the first time in Turkey, shows the contribution of the advertising industry to the Turkish Gross Domestic Product (GDP), which is measured multidimensionally.

The report “Contribution of Advertising to the Turkish Economy”, reveals the impact of the advertising industry, which is rapidly developing with technological innovations in Turkey, on the economy with tangible values. The report, based on the results of the research, was announced with a press conference attended by DPIP Chairman of the Board Ahmet Pura, Vice Chairs Ayşen Akalın and Volkan İkiler on Tuesday, 30^th of November, 2021.

According to the report, In the advertising and media investments that reached 17 billion 469 million TL in Turkey in 2020, every 1 TL of advertising and media investment created, 19.4 TL worth of return on national income.

In other words, advertising and media investments contributed directly and indirectly by 6.73% to the economy (GDP), worth of 340 billion TL in 2020.

Among 38 countries with annual media investments of more than 1 billion dollars, Turkey is the 31^st largest market in the world in terms of media investments. Turkey's share in the total advertising volume is only 0.33%. This ratio is the lowest among the 38 largest markets. Accordingly, considering the ratio of media investments to GDP in Turkey, it indicates that there is a growth potential of approximately 2.5 times.

Looking at the employment effect of the advertising industry, the number of enterprises in this field has increased by 2.26 percent since 2014, while the sum of salaries and wages has shown a compound annual growth of 11.57 percent.

According to 2020 Turkish Statistics Institute (TUİK) employment data, it is seen that 602 thousand 704 people with 2.25 percent among the total 26.8 million in the work force are supported by the growth in advertising and media investments.

If the economy grows, the advertising industry grows, if the advertising industry grows, the economy grows.

The interaction between the advertising industry, which is affected by economic growth, current economic size and macroeconomic expectations, and economic growth is mutual. If the economy grows, the advertising industry grows, if the advertising industry grows, the economy grows. According to modeling data, the contribution of advertising and media investments to GDP in Turkey is 6.24 percent on average between 2012 and 2020, and its contribution is increasing gradually over the years.

The impact of advertising and media investments on national income in Turkey is a remarkable finding that concerns companies from every industry that operates in Turkey and follows a sustainable strategy, and that describes the country's potential big picture in the future.

Turkish Advertising Industry is very open to development

The contribution of advertising and media investments to the economy in Turkey is an indication that it can be much larger if support and incentives are provided to the industry.

In the research, which reveals the high growth potential of the Turkish advertising industry with concrete data, it is also recommended that for healthy and sustainable growth, the advertising industry should be included in the scope of support and subventions by the government, in sectors undergoing digital transformation, innovations that can show the effectiveness of advertising, current technological developments, should be followed and support towards all media channels and holistic measurement approaches should be provided,.

The name of the game is THE GROWING ADVERTISING INDUSTRY

Ahmet Pura, Chairman of the Board of Directors of DPIP, in his opening speech at the press conference; “Today, we present to you the Report on the Contribution of Advertising to the Economy, which was created for the first time in our country with the contributions of the Digital Marketing Communication Platform (DPİP), which was established with the cooperation of four associations. The high growth potential of our distinguished sector, which has a dynamo effect on the economies, should be made sustainable, and our motto is: The name of the game is THE GROWING ADVERTISING INDUSTY.” Then, he thanked to Sabanci University Associate Professor Dr. Ezgi Akpinar Uysal, Rabia Kalyoncu, Serkan Ceran and Özlem Bulut from the Ipsos team for their efforts in realizing the report.

Left to right: Ahmet Pura / DPIP Chairman of The Board and Turkish Advertisers Association (RVD) President, Ozlem Bulut / Ipsos Country Service Line Leader, Exco Member, Ezgi Akpinar Uysal, Sabanci University Associate Professor, Aysen Akalin / DPIP Vice Chair and IAB Turkey President, Volkan Ikiler / DPIP Vice Chair and Turkish Association of Advertising Agencies (RD) President

Left side: Ahmet Pura / DPIP Chairman of The Board and Turkish Advertisers Association (RVD) President, Middle: Aysen Akalin / DPIP Vice Chair and IAB Turkey President,, Rigt side: Volkan Ikiler / DPIP Vice Chair and Turkish Association of Advertising Agencies (RD) President

About DPIP:

Digital Marketing Communication Platform (DPIP) was launched in January 2021 by four associations that shape the marketing communication and advertising industry in Turkey, Turkish Advertisers Association (RVD), Turkish Association of Advertising Agencies (RD), Interactive Advertising Bureau Turkey (IAB TR) and Mobile Marketing Association Turkey (MMA TR), with the sole aim of following the rapid changes together with the technological developments in digital marketing communication, to provide solution-oriented collaborations for the healthy development of the digital marketing communications field and to establish a secure internet environment.

The primary objectives of the platform is; To produce solutions by cooperating with similar organizations abroad on brand safety and prevention of fraud in advertising, to support researches to meet the data needs of the industry, and to grow the ecosystem in a sustainable and controlled manner. In addition, the Global Alliance for Responsible Media (GARM) alliance, which was established with the initiative of the World Advertisers Federation, WFA, for the development of digital advertising, is followed by the Digital Marketing Communication Platform (DPIP).

For more information: www.dpip.org.tr