Retail Platform Advertising - Australia & Oceania

Australia & Oceania

Highlights

In Australia & Oceania, ad spending in the Retail Platform Advertising market market is projected to reach US$1.43bn in 2024.
This region is expected to experience an annual growth rate (CAGR 2024-2030) of 17.83%, leading to a projected market volume of US$3.82bn by 2030.
The average ad spending per user in the Retail Platform Advertising market market in Australia & Oceania is anticipated to amount to US$69.92 in 2024.
In a global context, the majority of ad spending will be generated the United States, which is expected to reach US$57.63bn in 2024.
Australia's retail platform advertising market is increasingly embracing innovative digital strategies, reflecting a shift towards personalized consumer engagement in the Oceania region.

Market definitionIn-Scope/Out-of-scopeMarket structureReportsMethodology

The Retail Platform Advertising Market in Australia and Oceania is experiencing considerable growth, fueled by the surge in e-commerce, enhanced targeting capabilities, and the increasing demand for personalized marketing strategies that engage consumers effectively.

Customer preferences: Consumers in Australia and Oceania are increasingly gravitating towards seamless online shopping experiences, with a growing preference for platforms that offer personalized recommendations and interactive features. This shift is driven by a younger, tech-savvy demographic that values convenience and engagement, leading to a rise in mobile commerce and social media integration in retail advertising. Additionally, cultural trends emphasizing sustainability and ethical consumption are pushing brands to adopt transparent marketing strategies, resonating with environmentally conscious shoppers who prioritize values alongside product offerings.

Trends in the market: In Australia and Oceania, the Retail Platform Advertising market is experiencing a notable shift towards immersive online shopping experiences, with brands leveraging augmented reality and interactive content to enhance consumer engagement. Social commerce is rapidly gaining traction, as platforms like Instagram and TikTok integrate shopping features, facilitating direct purchasing options. Moreover, the emphasis on ethical consumption is prompting brands to transparently showcase their sustainability initiatives. This evolution not only enhances customer loyalty but also compels industry stakeholders to innovate their advertising strategies, ensuring alignment with consumer values and technological advancements.

Local special circumstances: In Australia and Oceania, the Retail Platform Advertising market is uniquely influenced by diverse cultural values and a strong environmental consciousness. The region's emphasis on outdoor lifestyles and community-driven initiatives fosters a preference for brands that promote local products and sustainability. Regulatory frameworks supporting consumer protection and transparency further shape advertising strategies, compelling brands to disclose their sustainability practices. Additionally, the geographical expanse and varying internet accessibility levels drive innovative approaches to reach consumers, particularly in remote areas, influencing overall market dynamics.

Underlying macroeconomic factors: The Retail Platform Advertising market in Australia and Oceania is significantly shaped by macroeconomic factors such as consumer spending trends, digital infrastructure investment, and economic resilience. A robust national economy, characterized by steady GDP growth and low unemployment, supports higher discretionary spending, benefiting retail advertising efforts. Fiscal policies promoting innovation and technology adoption further enhance digital advertising capabilities. Additionally, global economic trends, such as the rise of e-commerce and shifting consumer preferences towards online shopping, compel retailers to invest in targeted advertising strategies. The emphasis on sustainability and ethical consumption also drives brands to incorporate these values into their advertising campaigns, aligning with consumer expectations.

Data coverage:

Data encompasses enterprises (B2B). Figures are based on Retail platform ad spending and exclude agency commissions, rebates, production costs, and taxes. The market covers advertising by businesses for 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. 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). Next, we use relevant key market indicators and data from country-specific associations, such as GDP, internet users, 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).