Advertising - Philippines | Statista Market Forecast

Ad spending in the Advertising market in the Philippines is forecasted to reach US$3.32bn in 2024.
The largest market is TV & Video Advertising with a market volume of US$997.00m in 2024.
When compared globally, the United States is expected to lead in ad spending, reaching US$425.90bn in 2024.
Within the Advertising market in the Philippines, 66% of total ad spending is projected to come from digital advertising by 2030.
The average ad spending per capita in the TV & Video Advertising market is estimated to be US$8.37 in 2024.
Furthermore, Advertising market of the 79% revenue in the Philippines is anticipated to be generated through programmatic advertising by 2030.
The Philippines' Advertising market is experiencing a rise in programmatic advertising adoption, enhancing targeted and data-driven campaigns for businesses.

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 Philippines has been experiencing significant growth in recent years, driven by changing customer preferences and local special circumstances. Customer preferences in the Advertising market have shifted towards digital platforms, with consumers spending more time online and on social media. This has led to a surge in digital advertising, as companies seek to reach their target audience through online channels. Additionally, customers are increasingly looking for personalized and interactive advertising experiences, which has led to the rise of influencer marketing and native advertising. Trends in the market also include the growing importance of mobile advertising, as smartphones become more prevalent and accessible to the general population. Mobile advertising offers a unique opportunity for advertisers to reach consumers on-the-go and target them with location-based advertising. Furthermore, programmatic advertising has gained traction in the Philippines, as it allows for more efficient and targeted ad placements. Local special circumstances in the Philippines also contribute to the development of the Advertising market. The country has a large and young population, with a high internet penetration rate. This presents a vast potential market for advertisers to tap into. Additionally, the Philippines has a strong social media culture, with Filipinos being among the most active social media users in the world. This provides a fertile ground for social media advertising and influencer marketing. Underlying macroeconomic factors also play a role in the growth of the Advertising market in the Philippines. The country's economy has been steadily growing, leading to an increase in consumer spending power. This allows companies to allocate more funds towards advertising and marketing efforts. Furthermore, the government has been actively promoting the country as an attractive investment destination, which has attracted foreign companies and investors. This has resulted in increased competition in the advertising industry, as companies strive to differentiate themselves and capture the attention of both local and international clients. Overall, the Advertising market in the Philippines is developing rapidly due to changing customer preferences, local special circumstances, and underlying macroeconomic factors. As the country continues to embrace digital technologies and as consumer behavior evolves, the advertising industry will need to adapt and innovate to stay relevant and effective in reaching its target audience.

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.