Market Insights Advertising & Media Advertising

Influencer Advertising - Estonia

Estonia

Estonia is a country where the ad spending in the Influencer Advertising market is projected to reach US$4.59m in 2024.
The ad spending is expected to demonstrate an annual growth rate (CAGR 2024-2029) of 6.61%, leading to a projected market volume of US$6.32m by 2029.
The average ad spending per internet user in the Influencer Advertising market is projected to be US$4.03 in 2024.
When compared globally, China is anticipated to have the highest ad spending, reaching US$19,160.00m in 2024.
In Estonia, Influencer Advertising is rapidly growing, with brands leveraging local social media personalities to reach niche audiences effectively.

Key regions: Australia, Germany, France, Europe, United States

Market

Region

Region comparison

Currency

Analyst Opinion

The Influencer Advertising market in Estonia has been experiencing significant growth in recent years.

Customer preferences: Estonian consumers have shown a growing interest in influencer advertising as a means of discovering new products and services. Influencers are seen as trusted sources of information and recommendations, and their endorsements are often seen as more authentic and genuine than traditional forms of advertising. As a result, consumers are more likely to engage with influencer content and make purchasing decisions based on their recommendations. Additionally, influencers are able to provide a more personalized and targeted advertising experience, which resonates with consumers who are seeking more personalized and relevant content.

Trends in the market: One of the key trends in the influencer advertising market in Estonia is the increasing use of micro-influencers. These are individuals with smaller but highly engaged followings, typically in niche markets. Micro-influencers are often seen as more relatable and authentic, and their recommendations are more likely to be trusted by their followers. Brands are recognizing the value of working with micro-influencers to reach specific target audiences and are allocating a larger portion of their marketing budgets to these partnerships. Another trend in the market is the rise of video content. Video platforms such as YouTube and TikTok have gained significant popularity among Estonian consumers, and influencers are leveraging these platforms to create engaging and entertaining content. Brands are increasingly collaborating with influencers to create video content that showcases their products or services in a visually appealing and engaging way. Video content allows influencers to showcase the benefits and features of a product or service in a more immersive and interactive manner, which resonates with consumers and increases their likelihood of making a purchase.

Local special circumstances: Estonia is a small market with a relatively small population, which presents both opportunities and challenges for influencer advertising. On one hand, the smaller market size allows brands to target specific niche audiences more effectively. Influencers who have a strong presence in the Estonian market are able to connect with their followers on a more personal level, which can lead to higher levels of engagement and brand loyalty. On the other hand, the smaller market size means that there are fewer influencers with a significant following, which can make it more challenging for brands to find the right influencers to collaborate with.

Underlying macroeconomic factors: The growth of the influencer advertising market in Estonia is also influenced by macroeconomic factors. Estonia has a strong digital infrastructure and high internet penetration rates, which provides a conducive environment for influencer marketing. Additionally, the country has a high level of disposable income and a strong consumer culture, which makes it an attractive market for brands looking to promote their products and services. The relatively low cost of influencer advertising compared to traditional forms of advertising also makes it an appealing option for brands operating in Estonia.

Methodology

Data coverage:

Data encompasses enterprises (B2B). Figures are based on influencer advertising spending and exclude agency commissions, rebates, production costs, and taxes. The market covers advertising fees paid directly to influencers to post sponsored content.

Modeling approach:

Market size is determined by a combined top-down and bottom-up approach. We use market data from independent databases, influencer marketing platforms, and third-party reports to analyze and estimate global influencer advertising spending. We start by researching on the average cost per content post on each social media platform, the number of influencers available on advertising platforms (breakdown by tier: nano, micro, macro, and mega), and the average number of posts per year. Then we estimate the market size for each country individually. We use relevant key market indicators and data from country-specific industry associations, such as GDP, social media users, and digital consumer spending. Lastly, we benchmark key countries or regions (global, United States, China, etc.) with external sources.

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.