Global Digital Advertising Market Size, Share, and COVID-19 Impact Analysis, By Ad Format (Search Engine, Social Media, and Video), By Platform (Mobile, Desktop, and Laptop), By End-user Vertical (Automotive, Healthcare, Retail, and Others), and by Region (North America, Europe, Asia-Pacific, Latin America, Middle East, and Africa), Analysis and Forecast 2022-2030

KEY MARKET INSIGHTS

Global Digital Advertising Market is projected to grow from USD 428.7 billion in 2021 to USD 1091.2 billion by 2030 at a CAGR of 17.2% during the forecast period. The process to use the internet as a platform to distribute advertising or promotions to relevant consumers is known as digital advertising. Its goal is to persuade the targeted audience to do a particular action, such as making a purchase, while also increasing web traffic and brand awareness. It's one of the most effective ways for a business to attract new customers, broaden its reach, and diversify its revenue streams. Businesses utilize internet advertising through e-newsletters, suitable websites, search engines, and online versions of newspapers and magazines to reach out to consumers who shop or gather information on the internet. Digital marketing not only helps brands find the right audience, but it's also a quick and easy way to keep the target market engaged.

COVID-19 ANALYSIS         

Advertising firms lost the most money in the travel and tourist and automotive industries. For example, the United Nations World Tourism Organization reported a loss of over USD 1.0 billion each month in the EU alone in January 2021.

Whereas the multimedia, news, music, and online shopping verticals saw explosive growth due to increasing pay-per-click, click-through rate, and ad spending, the media, e-commerce, and entertainment verticals saw explosive growth due to rising pay-per-click, click-through rate, and ad spending across all categories. However, many countries are now allowing tourists to visit, resulting in increased use of mobile and, as a result, increased demand for digital advertising.       

LATEST TREND  

Increasing Use of Location-Based Technology Improves Customer Service 

The market is developing due to the increasing adoption of location-based services. Location-based marketing shows relevant material to mobile device users based on their past and current locations. The key driver of market expansion is increased advertising spending around the world. Brands and organizations are investing heavily in advertising and marketing to expand their client base and raise brand awareness. For example, in 2020, Amazon Inc. would spend USD 22.0 billion on marketing and advertising, up USD 3.0 billion from the previous year. Leading e-commerce companies' increasing advertising spending is expected to boost the market in the future years.   

DRIVING FACTORS

Growing Number of Internet Users Boost Market Growth

Several industries are gaining traction in the online advertising market. The key drivers of high traction are the growing number of Internet users and the rapid use of smartphones and other portable devices. Because consumer awareness is growing by the day and the industry is becoming increasingly competitive, it's critical to target the correct audience. With the growth of technology, identifying a possible or prospective customer or client has gotten much easier for advertisers. When compared to insignificant print media advertising, online advertising allows advertisers to reach a larger pool of prospects at a lower expense.  This is expected to propel market growth during the forecast period. 

RESTRAINTS                           

Concerns for Data Privacy Will Slow Adoption

Users' personal information is being leaked without their awareness as a result of the increased number of cybersecurity assaults. For example, Juspay, which processes payments for Swiggy and Amazon, announced a data breach involving over 100 million credit and debit cardholders in January 2021. The user's name, e-mail, contact information, and credit and debit cards were among the data stolen. Consumer preferences are limited by privacy concerns about sensitive data, which is hampered the global market over the projection period.   

SEGMENTATION    

The Global Digital Advertising Market is segmented by Ad Format, Platform, End-user Vertical, and Region. Based on the Ad Format, the market is categorized into Search Engine, Social Media, and Video. Based on Platform, the market is categorized into Mobile, Desktop, and Laptop. Based on End-user Vertical, the market is categorized into Automotive, Healthcare, Retail, and Others. Based on the Region, the market is categorized into North America, Europe, Asia-Pacific, Latin America, Middle East and Africa.          

REGIONAL INSIGHTS   

The Global Digital Advertising Market is categorized into North America, Europe, Asia-Pacific, Latin America, Middle East and Africa.                

North America is predicted to have the biggest revenue share internationally during the forecast period. Big American firms like Facebook, Inc. and Google LLC are expected to increase market revenue. In the United States, digital channel spending is expected to overtake television spending in the near future. 

The European market is expected to increase at a moderate pace in the future years. According to IAB Europe, the European industry body for the digital advertising and marketing ecosystem, digital advertising grew by 6.3 percent in 2020, according to a research released in May 2021. Mobile and social media spending, as well as out-stream video, drove a surge in digital advertising.   

Asia Pacific is expected to be the fastest-growing market over the projection period. The growing smartphone market in China, India, and Southeast Asia is predicted to promote internet consumption. This is driving up demand for digital advertising around the region. According to the GSMA 2021 research, 1.6 billion people used mobile services in 2020; by 2025, that figure will have risen to 1.8 billion. In addition, video advertisers such as TikTok and Snapchat, as well as in-app advertisements on Facebook, Google, and other platforms, help to drive market growth in the region. Due to increased digital ad expenditure in South Africa, Saudi Arabia, the United Arab Emirates, and other nations, the Middle East and Africa is expected to grow significantly throughout the projection period.

KEY INDUSTRY PLAYERS   

Because there are so many significant firms operating on a global basis, the digital advertising business is extremely competitive. The market appears to be moderately concentrated, with major competitors engaging in important tactics such as mergers and acquisitions, as well as service innovation. Google LLC, Microsoft Corporation, Yahoo., Oath Inc., eBay Inc., and Twitter Inc. are some of the market's significant players.

 KEY INDUSTRY DEVELOPMENTS:

February 2022, Google has introduced an updated Search Ads 360 platform, which will give users of Google Ads campaigns more management options in a more streamlined, integrated interface, while also leveraging Google's new sophisticated advertising technology. Search Ads 360 is a Google Ads management system that allows ad managers to manage all of their projects and campaigns from a single location.

September 2021, Companies in retail, manufacturing, wholesale, grocery, consumer packaged goods, and other sectors are using Facebook ads to sell more, run more efficiently, grow effortlessly, and provide exceptional customer service. Stanley Black & Decker, L'Oreal, and Motorola were among the companies that cooperated with Facebook.

LIST OF KEY COMPANIES PROFILED:

• Meta Platforms, Inc. (U.S.)
• Google LLC
• Microsoft Corporation
• Oath Inc.
• eBay Inc.
• Chartboost (U.S.)
• AppLovin Corporation (U.S.)
• Twitter, Inc. (U.S.)
• InMobi (India)
• Smaato, Inc. (U.S.)
• Epom (Ukraine)
• Mobvista (China)
• Mintegral (Beijing)

SEGMENTATION

By Ad Format

• Search Engine
• Social Media
• Video

By Platform

• Mobile
• Desktop
• Laptop

By End-user Vertical

• Automotive
• Healthcare
• Retail
• Others

By Region

• North America- U.S., Mexico, Canada
• Europe- UK, France, Germany, Italy, Spain, Rest of Europe
• Asia-Pacific- China, Japan, India, South Korea, Rest of Asia Pacific
• South America- Brazil, Argentina, Colombia, Rest of South America 
• The Middle East and Africa- GCC, South Africa, Rest of Middle East & Africa