Digital Audio Advertising - Philippines

Ad spending in the Digital Audio Advertising market in the Philippines is forecasted to reach US$82.14m in 2024.
Ad spending is anticipated to demonstrate an annual growth rate (CAGR 2024-2030) of 7.62%, leading to a projected market volume of US$127.60m by 2030.
With a projected market volume of US$6.59bn in 2024, the majority of revenue will be generated the United States.
In the Digital Audio Advertising market in the Philippines, the number of listeners is expected to reach 0.0users by 2030.
The average ad spending per user in the Digital Audio Advertising market is projected to be US$9.94 in 2024.
In the Digital Audio Advertising market in the Philippines, 77% of total ad spending will be generated through mobile in 2030.
The Philippines is experiencing a surge in programmatic buying for Digital Audio Advertising, driving targeted and efficient ad placements in the market.

Definition:
Digital Audio Advertising includes all ad revenue generated through pre- and in-stream audio ads that appear in music (music also includes all kinds of radio services) and podcast streaming services. Formats can be single spots, tandem spots, or popular special advertising formats such as presenting, on-air promotions, and infomercials, directly embedded in the audio file or dynamically inserted.

Structure:

Music streaming advertising is ad supported on music-streaming services
Podcast advertising is ad supported for ads placed within podcast channels

Additional information:
Digital Audio Advertising comprises advertising spending, users, and average revenue per user. The market only displays B2B spending. Figures are based on advertising spending and exclude agency commissions, rebates, production costs, and taxes. Key players in Digital Audio Advertising include Amazon Music, Apple Music, YouTube Music, Tencent Music, and Spotify. For more information on the data displayed, use the info button right next to the boxes.

Digital Audio Advertising through pre- and in-Stream Audio Ads that appear in music and podcast streaming services

Banner or Video ads included only in the web player of the streaming service

The Digital Audio Advertising market in Philippines has been experiencing significant growth in recent years.

Customer preferences: One of the main reasons for this growth is the increasing popularity of digital audio platforms among consumers in Philippines. With the rise of smartphones and affordable data plans, more and more people are accessing digital audio content on their mobile devices. This has led to a shift in consumer preferences from traditional radio to digital audio platforms such as streaming services and podcasts.

Trends in the market: As a result of this shift in consumer preferences, advertisers are also focusing more on digital audio advertising in Philippines. They are realizing the potential of reaching a highly engaged audience through these platforms. Digital audio advertising offers various targeting options, allowing advertisers to reach their desired audience based on factors such as demographics, interests, and location. This targeted approach has proven to be more effective in driving engagement and conversions compared to traditional radio advertising. Furthermore, the rise of programmatic advertising has also contributed to the growth of the digital audio advertising market in Philippines. Programmatic advertising allows advertisers to automate the buying and selling of ad inventory, making it more efficient and cost-effective. This has made it easier for advertisers to incorporate digital audio advertising into their overall marketing strategies.

Local special circumstances: In addition to these global trends, there are also some local special circumstances that have influenced the development of the digital audio advertising market in Philippines. One of these is the high mobile penetration rate in the country. Philippines has one of the highest mobile penetration rates in Southeast Asia, with a large percentage of the population owning smartphones. This has created a favorable environment for the growth of digital audio advertising, as it allows advertisers to reach a wide audience. Another local special circumstance is the popularity of local music and radio content in Philippines. Filipino consumers have a strong affinity for local music and radio shows, and this is reflected in their preferences for digital audio content. Advertisers have recognized this and are leveraging local music and radio platforms to connect with their target audience in a more meaningful way.

Underlying macroeconomic factors: Finally, the overall economic growth and stability in Philippines have also played a role in the development of the digital audio advertising market. As the economy continues to grow, businesses are investing more in advertising to capitalize on the expanding consumer market. This has created a demand for more innovative and effective advertising channels, such as digital audio. Overall, the growth of the digital audio advertising market in Philippines can be attributed to the shifting consumer preferences, the rise of programmatic advertising, local special circumstances, and the underlying macroeconomic factors. As digital audio platforms continue to gain popularity and advertisers recognize the value of reaching a highly engaged audience, the market is expected to further expand in the coming years.

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.

This report presents a comprehensive analysis and additional information on the Advertising & Media market, in a PDF format.

Podcasts are still the cool kid in the media family. Even though podcast advertising revenues remain lower than that of established media such as pay TV or out-of-home, the industry is thriving and has successfully reached the threshold of two billion U.S. dollars in annual ad revenue in the United States. The U.S. is the country with the highest number of podcast listeners worldwide, with an estimated 76 million people or 23 percent of the population consuming that audio content on a regular basis.