Media spending in 2023 is expected to grow by only 2.5%, lower than the previous forecast of 5% growth, as advertisers tighten their budgets amid lower consumer purchasing power, according to leading creative agency Media Intelligence. While the new government will launch many stimulus campaigns to revive consumer confidence, its key policies, such as the digital wallet scheme, are expected to impact the market early next year. The agency also recommends the Digital Economy and Society Ministry regulate the development of artificial intelligence (AI) to make it much more controllable, as AI could replace many tasks currently carried out by people, such as marketers and creatives. It could also affect overall advertising spending as it would be able to help advertisers spend their ad budgets at an optimal level and lower their budget requirements in the near future. The economic turmoil over the past eight months has resulted in waning purchasing power and marketers have had to allocate their advertising budget on offering product discounts to attract buyers, said Pawat Ruangdejworachai, president and chief executive of Media Intelligence.
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