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SMS Advertising - Northern Europe

Northern Europe

Ad spending in the SMS Advertising market in Northern Europe is forecasted to reach US$12.05m in 2024.
The market is expected to experience an annual growth rate (CAGR 2024-2029) of 0.72%, leading to a projected market volume of US$12.49m by 2029.
When compared globally, the United States is anticipated to generate the highest ad spending, amounting to US$310.40m in 2024.
The average ad spending per capita in the SMS Advertising market is projected to be US$0.36 in 2024.
In Northern Europe, SMS Advertising is gaining popularity due to the region's high smartphone penetration and effective targeting capabilities.

Key regions: India, Germany, China, United Kingdom, Australia

Market

Region

Region comparison

Currency

Analyst Opinion

The SMS Advertising market in Northern Europe is experiencing significant growth and development.

Customer preferences: Customers in Northern Europe have shown a strong preference for SMS advertising due to its convenience and effectiveness. SMS messages have a high open rate, ensuring that the advertising message reaches a large audience. Additionally, SMS advertising allows for personalized and targeted messaging, which resonates well with customers in this region.

Trends in the market: One trend in the SMS Advertising market in Northern Europe is the increasing use of SMS for customer engagement and loyalty programs. Companies are leveraging SMS to communicate with their customers, provide updates on promotions, and offer exclusive discounts. This trend is driven by the desire to build strong customer relationships and increase customer loyalty. Another trend in the market is the integration of SMS with other marketing channels. Companies are using SMS in conjunction with email marketing, social media, and mobile apps to create a seamless and cohesive customer experience. This integration allows for a more holistic approach to marketing and ensures that the advertising message is delivered through multiple touchpoints.

Local special circumstances: Northern Europe has a high mobile penetration rate, with a large percentage of the population owning a mobile phone. This makes SMS advertising an effective and efficient way to reach a wide audience. Additionally, Northern European countries have strict regulations regarding spam and unsolicited messages, which has led to the development of opt-in databases. This means that customers in this region are more receptive to SMS advertising as they have actively chosen to receive these messages.

Underlying macroeconomic factors: The strong economy in Northern Europe has contributed to the growth of the SMS Advertising market. With a high standard of living and disposable income, customers in this region are more likely to engage with SMS advertising and make purchases. Additionally, the prevalence of smartphones and mobile internet access has made it easier for customers to interact with SMS advertising campaigns. The combination of a strong economy and technological advancements has created a favorable environment for the growth of the SMS Advertising market in Northern Europe.

Methodology

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.