Market Insights Advertising & Media Advertising Audio Advertising

Digital Audio Advertising - G7

Ad spending in the Digital Audio Advertising market in G7 is forecasted to reach US$8.29bn in 2024.
The ad spending is anticipated to demonstrate an annual growth rate (CAGR 2024-2029) of 7.44%, leading to a projected market volume of US$11.87bn by 2029.
With a projected market volume of US$7,078.00m in 2024, the majority of revenue will be generated the United States, a in G7 country.
In the Digital Audio Advertising market in G7, the number of listeners is expected to reach 379.3m users by 2029.
The average ad spending per user in the Digital Audio Advertising market in G7 is projected to be US$27.36 in 2024.
In the Digital Audio Advertising market in G7, 79% of total ad spending will be generated through mobile in 2029.
In the US, programmatic buying is driving the growth of digital audio advertising, revolutionizing how brands reach consumers through targeted and personalized messages.

Key regions: United States, France, India, Asia, Japan

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Analyst Opinion

The Digital Audio Advertising market in G7 countries has been experiencing significant growth in recent years, driven by changing customer preferences and the increasing popularity of digital audio platforms.

Customer preferences: Consumers in G7 countries are increasingly turning to digital audio platforms for their entertainment and information needs. The convenience and flexibility offered by these platforms, such as streaming services and podcasts, have resonated with consumers who are looking for on-demand content that can be accessed anytime and anywhere. This shift in consumer behavior has created a lucrative opportunity for advertisers to reach their target audience through digital audio advertising.

Trends in the market: One of the key trends in the Digital Audio Advertising market in G7 countries is the rise of programmatic advertising. Programmatic advertising allows advertisers to automate the buying and selling of ad inventory, enabling them to reach their target audience more efficiently and effectively. This trend has been fueled by advancements in technology and data analytics, which have made it easier for advertisers to identify and target specific demographics and interests. Another trend in the market is the increasing adoption of native advertising in digital audio. Native ads seamlessly blend into the content of the digital audio platform, providing a non-disruptive and engaging experience for listeners. This form of advertising has gained popularity as it allows brands to connect with consumers in a more organic and authentic way.

Local special circumstances: Each G7 country has its own unique set of circumstances that influence the development of the Digital Audio Advertising market. For example, in the United States, the market is driven by the dominance of streaming services like Spotify and Pandora, as well as the popularity of podcasts. In the United Kingdom, the market is shaped by the strong presence of traditional radio broadcasters who have expanded their offerings to include digital audio platforms.

Underlying macroeconomic factors: The growth of the Digital Audio Advertising market in G7 countries can also be attributed to underlying macroeconomic factors. The strong economies of these countries have created a favorable environment for businesses to invest in advertising. Additionally, the increasing penetration of smartphones and other mobile devices has made it easier for consumers to access digital audio platforms, further driving the demand for digital audio advertising. In conclusion, the Digital Audio Advertising market in G7 countries is experiencing significant growth due to changing customer preferences, the rise of programmatic advertising, and the increasing adoption of native advertising. These trends, coupled with local special circumstances and underlying macroeconomic factors, are driving the development of the market and presenting lucrative opportunities for advertisers.

Methodology

Data coverage:

Data encompasses enterprises (B2B). Figures are based on digital audio advertising spending and exclude agency commissions, rebates, production costs, and taxes. The market covers pre- and in-stream audio ads and podcast streaming ads.

Modeling approach:

Market size is determined by a combined top-down and bottom-up approach. We use annual financial reports of the market-leading companies and industry associations, third-party reports, web traffic, and survey results from our primary research (e.g., Consumer Insights Global Survey) to analyze the markets. To estimate the market size for each country individually, we use relevant key market indicators and data from country-specific industry associations, such as GDP, media consumption, internet users, and digital consumer spending.

Forecasts:

We use a variety of forecasting techniques, depending on the behavior of the market. For instance, the S-curve function is well suited to forecast digital products due to the non-linear growth of technology adoption, whereas exponential trend smoothing (ETS) is more suited for projecting steady growth in traditional advertising markets.

Additional notes:

Data is modeled using current exchange rates. The impacts of the COVID-19 pandemic and the Russia-Ukraine war are considered at a country-specific level. The market is updated twice per year in case market dynamics change.