The report by New York research group Fitch Ratings says the global holding companies will be the biggest winners during a year of growth in adspend, boosted by the Athens Olympics, Euro 2004 football championships and the US Presidential elections.
Karen Ghaffari, Fitch Ratings senior director, said audiences are increasingly migrating from network television, adding that "the global holding companies' ability to adapt to this changing environment will be a determining factor in how these companies perform over time".
These latest findings back up Sir Martin Sorrell's claim in February that the firm was "out of the bath" after posting a healthy pre-tax profit rise of 18% for 2003.
However, the report predicts a tough year for mid-size groups such as Havas, which face the risk of merger and acquistion in an effort to keep up with the larger groups.
Fitch is predicting moderate merger and acquisition activity in the year from the leaders such as WPP, Omnicom and Publicis Groupe.
The report, called 'Global Advertising: Signs of Stabilization', says that smarter use of media other than network television, such as cable networks, the internet and videogames, will also play a key part in their success.
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