SMS Advertising - CIS

CIS

Highlights

Ad spending in the SMS Advertising market in the country in Commonwealth of Independent States (CIS) is forecasted to reach US$8.46m by 2024.
The sector is anticipated to demonstrate an annual growth rate (CAGR 2024-2030) of 1.94%, leading to an estimated market volume of US$9.49m by 2030.
When compared globally, the United States is expected to generate the highest ad spending (US$310.40m in 2024).
The projected average ad spending per capita in the SMS Advertising market is set to be US$0.03 by 2024.
In the CIS region, SMS Advertising is experiencing a surge in demand as businesses seek cost-effective ways to reach a wide audience.

Key regions:

Market definitionIn-Scope/Out-of-scopeMarket structureReportsMethodology

The SMS Advertising market in CIS is experiencing significant growth and development due to several key factors.

Customer preferences: Customers in CIS countries have shown a strong preference for SMS advertising as a means of communication and engagement. This is primarily due to the widespread use of mobile phones in the region, with a large percentage of the population owning and regularly using smartphones. SMS advertising offers a direct and personal way for businesses to reach their target audience, and customers appreciate the convenience and immediacy of receiving promotional messages directly to their phones.

Trends in the market: One of the major trends in the SMS Advertising market in CIS is the increasing adoption of SMS marketing by small and medium-sized enterprises (SMEs). These businesses are recognizing the potential of SMS advertising to reach a wide audience at a relatively low cost, and are leveraging this channel to promote their products and services. Additionally, there is a growing trend of personalized and targeted SMS campaigns, where businesses are using customer data and analytics to tailor their messages to specific segments of their audience. This level of customization helps to increase customer engagement and response rates.

Local special circumstances: The unique cultural and linguistic diversity of the CIS region presents both challenges and opportunities for SMS advertising. With multiple languages spoken across the region, businesses need to ensure that their SMS campaigns are localized and tailored to the specific needs and preferences of each country. This requires investing in translation services and understanding the cultural nuances of each market. However, businesses that are able to navigate these challenges and effectively localize their SMS campaigns have the opportunity to tap into a diverse and potentially lucrative customer base.

Underlying macroeconomic factors: The growing economy in CIS countries is also contributing to the development of the SMS Advertising market. As disposable incomes rise and consumer spending increases, businesses are looking for cost-effective ways to promote their products and services. SMS advertising offers a cost-effective and efficient solution, allowing businesses to reach a large audience without incurring high marketing costs. Additionally, the increasing penetration of smartphones and mobile internet access in the region further fuels the demand for SMS advertising, as more people are able to receive and engage with SMS campaigns. In conclusion, the SMS Advertising market in CIS is experiencing growth and development due to customer preferences for direct and personalized communication, the increasing adoption of SMS marketing by SMEs, the need for localized campaigns in a diverse linguistic region, and the underlying macroeconomic factors of a growing economy and increasing smartphone penetration. These factors create a favorable environment for businesses to leverage SMS advertising as an effective marketing tool in the CIS region.

Data coverage:

The data encompasses B2B enterprises. Figures are based on SMS Advertising spending and exclude agency commissions, rebates, production costs, and taxes. The market covers the advertising budget used for creating and sending SMS 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 coverage.

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.