How Total Spend by U.S. Advertisers Has Changed, Over 20 Years
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How Total Spend by U.S. Advertisers Has Changed, Over 20 Years

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How Total Spend Has Changed, Over 20 Years

Total Spend by U.S. Advertisers, Over 20 Years

With an advertising economy worth $239 billion in 2019, it’s safe to say that the U.S. is home to some of the biggest advertising spenders on the planet.

However, the COVID-19 pandemic has resulted in the major upheaval of advertising spend, and it is unlikely to recover for some time.

The graphic above uses data from Ad Age’s Leading National Advertisers 2020 which measures U.S. advertising spend each year, and ranks 100 national advertisers by their total spend in 2019.

Let’s take a look at the brands with the biggest budgets.

2019’s Biggest Advertising Spenders

Much of the top 10 biggest advertising spenders are in the telecommunications industry, but it is retail giant Amazon that tops the list with an advertising spend of almost $7 billion.

In fact, Amazon spent an eye-watering $21,000 per minute on advertising and promotion in 2019, making them undeniably the largest advertising spender in America.

Explore the 100 biggest advertisers in 2019 below:

RankCompanyTotal U.S. Ad Spend 2019Industry
#1Amazon$6.9BRetail
#2Comcast Corp.$6.1BEntertainment
#3AT&T$5.5BTelecommunications
#4Procter & Gamble$4.3BConsumer Goods
#5Walt Disney$3.1BEntertainment
#6Alphabet$3.1BTechnology
#7Verizon Communications$3.1BTelecommunications
#8Charter Communications$3.0BTelecommunications
#9American Express$3.0BFinancial Services
#10General Motors$3.0BAutomotive
#11JPMorgan Chase$2.8BFinancial Services
#12Walmart$2.7BRetail
#13L’Oréal$2.3BBeauty
#14T-Mobile U.S.$2.3BTelecommunications
#15Berkshire Hathaway$2.3BVarious
#16Nestlé$2.3BFood & Beverages
#17Ford$2.3BAutomotive
#18Expedia Group$2.2BTravel & Hospitality
#19Capital One Financial$2.2BFinancial Services
#20Fiat Chrysler Automobiles$2.0BAutomotive
#21Samsung$2.0BElectronics
#22Pfizer$1.9BPharmaceuticals
#23Progressive$1.8BInsurance
#24PepsiCo$1.7BFood & Beverages
#25Bank of America$1.7BFinancial Services
#26LVMH$1.6BRetail
#27Target$1.6BRetail
#28McDonald’s$1.6BFood & Beverages
#29Booking Holdings$1.6BTravel & Hospitality
#30GlaxoSmithKline$1.5BPharmaceuticals
#31Johnson & Johnson$1.5BPharmaceuticals
#32Anheuser-Busch InBev$1.5BFood & Beverages
#33Toyota$1.5BAutomotive
#34Merck & Co.$1.5BLogistics
#35Nike$1.5BRetail
#36AbbVie$1.4BPharmaceuticals
#37Honda$1.4BAutomotive
#38Unilever$1.4BConsumer Goods
#39ViacomCBS$1.4BEntertainment
#40Macy’s$1.3BRetail
#41State Farm$1.2BInsurance
#42Kohl’s$1.2BRetail
#43Home Depot$1.1BRetail
#44Wells Fargo$1.1BFinancial Services
#45Yum Brands$1.1BFood & Beverages
#46Netflix$1.1BEntertainment
#47U.S. Government$1.0BGovernment
#48Estée Lauder$994MBeauty
#49Nissan$990MAutomotive
#50Wayfair$932MRetail
#51Diageo$918MFood & Beverages
#52Sanofi$889MPharmaceuticals
#53Discover Financial Services$883MFinancial Services
#54Mars$880MFood & Beverages
#55Eli Lilly$864MPharmaceuticals
#56Kroger$854MRetail
#57Allstate$854MInsurance
#58Molson Coors$822MFood & Beverages
#59Apple$818MTechnology
#60Microsoft$816MTechnology
#61Coca-Cola$816MFood & Beverages
#62DISH Network$815MEntertainment
#63Lowe’s$811MRetail
#64Kraft Heinz$782MFood & Beverages
#65Volkswagen$780MAutomotive
#66IAC$775MEntertainment
#67Best Buy$772MRetail
#68Intuit$760MTechnology
#69Uber$756MTechnology
#70Constellation Brands$749MFood & Beverages
#71Sony$746MTechnology
#72Cox Enterprises$715MEntertainment
#73Citigroup$691MFinancial Services
#74Adidas$688MConsumer Goods
#75LendingTree$688MFinancial Services
#76Amgen$685MTechnology
#77Gilead Services$683MPharmaceuticals
#78Facebook$671MTechnology
#79Lions Gate$668MEntertainment
#80Marriott International$667MTravel & Hospitality
#81EssilorLuxottica$665MConsumer Goods
#82J.C. Penney$644MRetail
#83Liberty Mutual$640MInsurance
#84Daimler$640MAutomotive
#85Hyundai$627MAutomotive
#86Walgreens$621MRetail
#87Dell$618MTechnology
#88IBM$606MTechnology
#89Reckitt Benckiser$593MConsumer Goods
#90Keurig Dr Pepper$593MFood & Beverages
#91Restaurant Brands International$589MFood & Beverages
#92Inspire Brands$589MFood & Beverages
#93Clorox$581MConsumer Goods
#94Novartis$579MPharmaceuticals
#95eBay$562MRetail
#96Gap$562MRetail
#97Takeda$541MPharmaceuticals
#98Kia Motors$534MAutomotive
#99Coty$531MBeauty
#100Subarau$532MAutomotive

The report offers several ways of looking at this data—for example, when looking at highest spend by medium, Procter & Gamble comes out on top for traditional media spend like broadcast and cable TV.

On the digital front, Expedia Group is the biggest spender on desktop search, while Amazon tops the list for internet display ads.

The Rise and Fall of Advertising Spend

Interestingly, changes in advertising spend tend to fall closely in step with broader economic growth. In fact, for every 1% increase in U.S. GDP, there is a 4.4% rise of advertising that occurs in tandem.

The same phenomenon can be seen among the biggest advertising spenders in the country. Since 2000, spend has seen both promising growth, and drastic declines. Unsurprisingly, the Great Recession resulted in the largest drop in spend ever recorded, and now it looks as though history may be repeating itself.

Total advertising spend in the U.S. is estimated this year to see a brutal decline of almost 13% and is unlikely to return to previous levels for a number of years.

The COVID-19 Gut Punch

To say that the global COVID-19 pandemic has impacted consumer behavior would be an understatement, and perhaps the most notable change is how they now consume content.

With more people staying safe indoors, there is less need for traditional media formats such as out-of-home advertising. As a result, online media is taking its place, as an increase in spend for this format shows.

But despite marketers trying to optimize their media strategy or stripping back their budget entirely, many governments across the world are ramping up their spend on advertising to promote public health messages—or in the case of the U.S., to canvass.

The Saving Grace?

Even though advertising spend is expected to nosedive by almost 13% in 2020, this figure excludes political advertising. When taking that into account, the decline becomes a slightly more manageable 7.6%

Moreover, according to industry research firm Kantar, advertising spend for the 2020 U.S. election is estimated to reach $7 billion—the same as Amazon’s 2019 spend—making it the most expensive election of all time.

Can political advertising be the key to the advertising industry bouncing back again?

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How the Top Cryptocurrencies Performed in 2021

Cryptocurrencies had a breakout year in 2021, providing plenty of volatility and strong returns across crypto’s various sectors.

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The Returns of Top Cryptocurrencies in 2021

2021 saw the crypto markets boom and mature, with different sectors flourishing and largely outperforming the market leader, bitcoin.

While bitcoin only managed to return 59.8% last year, the crypto sector’s total market cap grew by 187.5%, with many of the top coins offering four and even five-digit percentage returns.

2021 Crypto Market Roundup

Last year wasn’t just a breakout year for crypto in terms of returns, but also the growing infrastructure’s maturity and resulting decorrelation of individual crypto industries and coins.

Crypto’s infrastructure has developed significantly, and there are now many more onramps for people to buy altcoins that don’t require purchasing and using bitcoin in the process. As a result, many cryptocurrency prices were more dictated by the value and functionality of their protocol and applications rather than their correlation to bitcoin.

CryptocurrencyCategory2021 Returns
BitcoinCryptocurrency59.8%
EthereumSmart Contract Platform399.2%
Binance CoinExchange Token1,268.9%
SolanaSmart Contract Platform11,177.8%
CardanoSmart Contract Platform621.3%
XRPCryptocurrency277.8%
TerraSmart Contract Platform12,967.3%
AvalancheSmart Contract Platform3,334.8%
PolkadotSmart Contract Platform187.9%
DogecoinMeme Coin3,546.0%

Sources: TradingView, Binance, Uniswap, FTX, Bittrex

Bitcoin wasn’t the only cryptocurrency that didn’t manage to reach triple-digit returns in 2021. Litecoin and Bitcoin Cash also provided meagre double-digit percentage returns, as payment-focused cryptocurrencies were largely ignored for projects with smart contract capabilities.

Other older projects like Stellar Lumens (109%) and XRP (278%) provided triple-digit returns, with Cardano (621%) being the best performer of the old guard despite not managing to ship its smart contract functionality last year.

The Rise of the Ethereum Competitors

Ethereum greatly outpaced bitcoin in 2021, returning 399.2% as the popularity boom of NFTs and creation of DeFi 2.0 protocols like Olympus (OHM) expanded possible use-cases.

But with the rise of network activity, a 50% increase in transfers in 2021, Ethereum gas fees surged. From minimums of $20 for a single transaction, to NFT mint prices starting around $40 and going into the hundreds on congested network days, crypto’s retail crowd migrated to other smart contract platforms with lower fees.

Alternative budding smart contract platforms like Solana (11,178%), Avalanche (3,335%), and Fantom (13,207%) all had 4-5 digit percentage returns, as these protocols built out their own decentralized finance ecosystems and NFT markets.

With Ethereum set to merge onto the beacon chain this year, which uses proof of stake instead of proof of work, we’ll see if 2022 brings lower gas fees and retail’s return to Ethereum if the merge is successful.

Dog Coins Meme their Way to the Top

While many new cryptocurrencies with strong functionality and unique use-cases were rewarded with strong returns, it was memes that powered the greatest returns in cryptocurrencies this past year.

Dogecoin’s surge after Elon Musk’s “adoption” saw many other dog coins follow, with SHIB benefitting the most and returning an astounding 19.85 million percent.

But ever since Dogecoin’s run from $0.07 to a high of $0.74 in Q2 of last year, the original meme coin’s price has slowly bled -77% down to $0.17 at the time of writing. After the roller coaster ride of last year, 2022 started with a positive catalyst for Dogecoin holders as Elon Musk announced DOGE can be used to purchase Tesla merchandise.

Gamifying the Crypto Industry

The intersection between crypto, games, and the metaverse became more than just a pipe dream in 2021. Axie Infinity was the first crypto native game to successfully establish a play to earn structure that combines its native token (AXS) and in-game NFTs, becoming a sensation and source of income for many in the Philippines.

Other crypto gaming projects like Defi Kingdoms are putting recognizable game interfaces on decentralized finance applications, with the decentralized exchange becoming the town’s “marketplace” and yield farms being the “gardens” where yield is harvested. This fantasy aesthetic is more than just a new coat of paint, as the project with $1.04B of total value locked is developing an underlying play-to-earn game.

Along with gamification, 2021 saw crypto native and non-crypto developers put a big emphasis on the digital worlds or metaverses users will inhabit. Facebook’s name change to Meta resulted in the two prominent metaverse projects The Sandbox (SAND) and Decentraland (MANA) surge another few hundred percent to finish off the year at 16,261% and 4,104% returns respectively.

With so many eyes on the crypto sector after the 2021’s breakout year, we’ll see how developing U.S. regulation and changing macro conditions affect cryptocurrencies in 2022.

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Energy

The Periodic Table of Commodity Returns (2012-2021)

Energy fuels led the way as commodity prices surged in 2021, with only precious metals providing negative returns.

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The Periodic Table of Commodity Returns (2022 Edition)

For investors, 2021 was a year in which nearly every asset class finished in the green, with commodities providing some of the best returns.

The S&P Goldman Sachs Commodity Index (GSCI) was the third best-performing asset class in 2021, returning 37.1% and beating out real estate and all major equity indices.

This graphic from U.S. Global Investors tracks individual commodity returns over the past decade, ranking them based on their individual performance each year.

Commodity Prices Surge in 2021

After a strong performance from commodities (metals especially) in the year prior, 2021 was all about energy commodities.

The top three performers for 2021 were energy fuels, with coal providing the single best annual return of any commodity over the past 10 years at 160.6%. According to U.S. Global Investors, coal was also the least volatile commodity of 2021, meaning investors had a smooth ride as the fossil fuel surged in price.

Commodity2021 Returns
Coal160.61%
Crude Oil55.01%
Gas46.91%
Aluminum42.18%
Zinc31.53%
Nickel26.14%
Copper25.70%
Corn22.57%
Wheat20.34%
Lead18.32%
Gold-3.64%
Platinum-9.64%
Silver-11.72%
Palladium-22.21%

Source: U.S. Global Investors

The only commodities in the red this year were precious metals, which failed to stay positive despite rising inflation across goods and asset prices. Gold and silver had returns of -3.6% and -11.7% respectively, with platinum returning -9.6% and palladium, the worst performing commodity of 2021, at -22.2%.

Aside from the precious metals, every other commodity managed double-digit positive returns, with four commodities (crude oil, coal, aluminum, and wheat) having their best single-year performances of the past decade.

Energy Commodities Outperform as the World Reopens

The partial resumption of travel and the reopening of businesses in 2021 were both powerful catalysts that fueled the price rise of energy commodities.

After crude oil’s dip into negative prices in April 2020, black gold had a strong comeback in 2021 as it returned 55.01% while being the most volatile commodity of the year.

Natural gas prices also rose significantly (46.91%), with the UK and Europe’s natural gas prices rising even more as supply constraints came up against the winter demand surge.

Energy commodity returns 2021

Despite being the second worst performer of 2020 with the clean energy transition on the horizon, coal was 2021’s best commodity.

High electricity demand saw coal return in style, especially in China which accounts for one-third of global coal consumption.

Base Metals Beat out Precious Metals

2021 was a tale of two metals, as precious metals and base metals had opposing returns.

Copper, nickel, zinc, aluminum, and lead, all essential for the clean energy transition, kept up last year’s positive returns as the EV batteries and renewable energy technologies caught investors’ attention.

Demand for these energy metals looks set to continue in 2022, with Tesla having already signed a $1.5 billion deal for 75,000 tonnes of nickel with Talon Metals.

Metals price performance 2021

On the other end of the spectrum, precious metals simply sunk like a rock last year.

Investors turned to equities, real estate, and even cryptocurrencies to preserve and grow their investments, rather than the traditionally favorable gold (-3.64%) and silver (-11.72%). Platinum and palladium also lagged behind other commodities, only returning -9.64% and -22.21% respectively.

Grains Bring Steady Gains

In a year of over and underperformers, grains kept up their steady track record and notched their fifth year in a row of positive returns.

Both corn and wheat provided double-digit returns, with corn reaching eight-year highs and wheat reaching prices not seen in over nine years. Overall, these two grains followed 2021’s trend of increasing food prices, as the UN Food and Agriculture Organization’s food price index reached a 10-year high, rising by 17.8% over the course of the year.

Grains price performance 2021

As inflation across commodities, assets, and consumer goods surged in 2021, investors will now be keeping a sharp eye for a pullback in 2022. We’ll have to wait and see whether or not the Fed’s plans to increase rates and taper asset purchases will manage to provide price stability in commodities.

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