Advertising - MENA | Statista Market Forecast

Ad spending in the Advertising market in MENA is forecasted to reach US$18.54bn in 2024.
The largest market in MENA is Search Advertising with a market volume of US$4.82bn in 2024.
When compared globally, the United States is expected to lead in ad spending with US$425.90bn in 2024.
By 2030, 76% of total ad spending in MENA's Advertising market will come from digital channels.
The average ad spending per capita in the Search Advertising market is projected to be US$8.46 in 2024.
In MENA's Advertising market, Advertising market of the 79% revenue will be generated through programmatic advertising in 2030.
In MENA, digital advertising expenditure is surging, with a shift towards influencer marketing and personalized content strategies in the advertising market.

Definition:
Advertising spending refers to expenses for promotional strategies with which brands or businesses purchase advertising space to promote products or services. The primary purposes of advertising include creating awareness, generating interest, and persuading consumers to take a particular action such as purchasing a product, visiting a website, or supporting brands. Advertisers use advertising to reach their target audience while media companies and advertising agencies use it as a source of income.

Structure:
The advertising spending consists of two main channels (traditional advertising and digital advertising). Traditional Advertising refers to above-the-line media that delivers commercial messages to broad audiences. This includes mass media such as traditional TV, traditional radio, printed newspapers, printed magazines, and traditional out-of-home (OOH) advertising formats. Digital Advertising uses the internet to deliver marketing messages to internet users in various forms. This includes digital video, search engine, social media, digital out-of-home, digital banner, digital audio, digital classifieds, and influencer advertising.

Additional information:
The market comprises advertising spending, share by advertising channel, users, average revenue per user, advertising share by industry, ad spending by medium, and digital ad spending share (programmatic and non-programmatic). The market only displays B2B spending and users for the above-mentioned channels. Figures are based on advertising spending and exclude agency commissions, rebates, production costs, and taxes. Additional definitions for each market can be found on the respective pages. For more information on the data displayed, use the info button right next to the boxes.

Traditional advertising such as non-digital ads for TV and radio, as well as out-of-home advertising and print advertising
Digital advertising such as online ads for video, banner, audio, classifieds, and search engines, as well as digital out-of-home, social media, in-app, and connected TV advertising
Influencer advertising

Sponsorships/events and promotion
Product placement
Commission-based affiliate systems

The Advertising market in MENA is experiencing a shift in customer preferences and trends, influenced by local special circumstances and underlying macroeconomic factors.

Customer preferences: Customers in the MENA region are increasingly demanding personalized and interactive advertising experiences. They are looking for targeted and relevant ads that resonate with their cultural values and beliefs. With the rise of digital platforms and social media usage in the region, customers are more inclined towards engaging with brands through online channels. Additionally, there is a growing interest in influencer marketing as customers seek authentic and relatable content from trusted personalities.

Trends in the market: In Saudi Arabia, there is a noticeable trend towards utilizing social media influencers to promote products and services. Influencer marketing has gained significant traction as companies leverage the large following of popular influencers to reach their target audience effectively. This trend is driven by the high social media penetration rate in the country and the influence that these personalities hold over consumer purchasing decisions.

Local special circumstances: The UAE stands out in the MENA region for its advanced infrastructure and diverse population, making it a hub for innovative advertising strategies. Brands in the UAE are increasingly focusing on creativity and technology to deliver unique and memorable ad campaigns. The country's status as a global business center also attracts international brands looking to establish a presence in the region, leading to a competitive advertising landscape.

Underlying macroeconomic factors: The economic diversification efforts in Qatar have created opportunities for advertising agencies to cater to a range of industries beyond oil and gas. As the country invests in sectors such as tourism, finance, and technology, there is a growing demand for marketing services to promote these new ventures. This diversification has opened up avenues for creative advertising campaigns that target both domestic and international audiences, driving the growth of the advertising market in Qatar.

Data coverage:

Data encompasses enterprises (B2B). Figures are based on advertising spending and exclude agency commissions, rebates, production costs, and taxes. The market covers advertising by businesses for traditional and digital advertisements.

Modeling approach:

Market sizes are determined by a combined top-down and bottom-up approach, based on a specific rationale for each market market. As a basis for evaluating markets, we use annual financial reports of the market-leading companies and industry associations, third-party reports, and survey results from our primary research (e.g., Consumer Insights Global Survey). Next, we use relevant key market indicators and data from country-specific associations, such as GDP, internet users, consumer spending, and digital consumer spending. 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 particular 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.

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 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).

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

All advertising markets across the globe win, yet some win more than others. Ad spending worldwide reached almost 733 billion U.S. dollars in 2023, up less than three percent from the previous year. For comparison, in 2022, Switzerland ranked 20th among the leading economies by gross domestic product (GDP) with a result exceeding 800 billion dollars. Whereas global ad revenues concentrate in areas with either large populations or high purchase power – preferably both – their evolution depends on a larger set of indicators. It was forecast that, in 2024, South Asia will be the world's fastest-growing ad market, and the only out of nine with a double-digit increase rate: 12.1 percent. The second-placed region, comprising the United States and Canada, was projected to see its ad expenditure rise 7.6 percent.