Instant Messaging Advertising - Canada

Canada

Highlights

Canada's Instant Messaging Advertising market is expected to witness a significant increase in ad spending, with projections indicating a rise to US$4.15m by 2024.
The sector is also anticipated to display a Compound Annual Growth Rate (CAGR 2024-2030) of 1.64%, leading to a forecasted market volume of US$4.58m by 2030.
When compared globally, the United States is set to dominate in ad spending, with an estimated US$74.28m allocated towards this sector in 2024.
The average ad spending per internet user in the Instant Messaging Advertising market of Canada is projected to be US$0.11 in 2024.
In Canada, Instant Messaging Advertising is rapidly gaining traction as businesses leverage its interactive and targeted approach to engage with consumers effectively.

Key regions:

Market definitionIn-Scope/Out-of-scopeMarket structureReportsMethodology

The Instant Messaging Advertising market in Canada has been experiencing significant growth in recent years.

Customer preferences: Canadian consumers have shown a strong preference for instant messaging as a means of communication. With the increasing popularity of smartphones and the availability of high-speed internet, more and more Canadians are using instant messaging apps to stay connected with friends, family, and colleagues. This shift in consumer behavior has created a lucrative market for advertisers to reach their target audience through instant messaging platforms.

Trends in the market: One of the key trends in the Instant Messaging Advertising market in Canada is the rise of personalized and interactive advertisements. Advertisers are leveraging the data collected from instant messaging apps to deliver targeted and relevant ads to users. This approach not only increases the effectiveness of advertising campaigns but also enhances the overall user experience by providing content that is tailored to their interests and preferences. Another trend in the market is the integration of chatbots into instant messaging platforms. Chatbots are automated programs that can simulate human conversation and provide personalized recommendations or assistance to users. Advertisers are using chatbots to engage with consumers in a more interactive and conversational manner, creating a more immersive advertising experience.

Local special circumstances: One of the unique characteristics of the Canadian market is its bilingual nature. Canada has two official languages, English and French, and advertisers need to take this into consideration when developing their instant messaging advertising campaigns. Advertisers that are able to effectively target both English and French-speaking consumers have a competitive advantage in the market.

Underlying macroeconomic factors: The growth of the Instant Messaging Advertising market in Canada can be attributed to several underlying macroeconomic factors. Firstly, the Canadian economy has been performing well in recent years, with stable GDP growth and low unemployment rates. This has resulted in increased consumer spending power, allowing advertisers to allocate more budget towards advertising campaigns. Secondly, the rapid advancement of technology has made instant messaging apps more accessible and user-friendly. Canadians are increasingly relying on these apps for various purposes, including communication, entertainment, and shopping. Advertisers are capitalizing on this trend by leveraging the popularity of instant messaging platforms to reach their target audience effectively. In conclusion, the Instant Messaging Advertising market in Canada is experiencing significant growth due to the preferences of Canadian consumers for instant messaging, the rise of personalized and interactive advertisements, the integration of chatbots, the bilingual nature of the market, and the underlying macroeconomic factors such as the stable economy and technological advancements.

Data coverage:

The data encompasses B2B enterprises. Figures are based on Instant Messaging Advertising spending and exclude agency commissions, rebates, production costs, and taxes. The market covers the advertising budget used for distributing instant messaging advertisements.

Modeling approach:

Market sizes are determined through a bottom-up approach, building on specific predefined factors for each market. As a basis for evaluating markets, we use annual financial reports of the market-leading companies and industry associations, third-party studies and reports, survey results from our primary research (e.g., the Statista Consumer Insights Global survey), as well as performance factors (e.g., user penetration, usage). In addition, we use relevant key market indicators and data from country-specific associations, such as GDP, number of internet users, and internet coverage. This data helps us estimate the market size for each country individually.

Forecasts:

In our forecasts, we apply diverse forecasting techniques. The selection of forecasting techniques is based on the behavior of the relevant market. For example, 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. The main drivers are GDP per capita, consumer spending per capita, and internet users.

Additional notes:

The data is modeled using current exchange rates. The impact of the COVID-19 pandemic and the Russia-Ukraine war are considered at a country-specific level. The market is updated twice a year. In some cases, the data is updated on an ad hoc basis (e.g., when new, relevant data has been released or significant changes within the market have an impact on the projected development). Data from the Statista Consumer Insights Global survey is reweighted for representativeness.