Retail Platform Advertising - Malta

In Malta, ad spending in the Retail Platform Advertising market market is projected to reach US$15.66m in 2024.
The ad spending in Malta is expected to show an annual growth rate (CAGR 2024-2030) of 13.81%, resulting in a projected market volume of US$34.04m by 2030.
The average ad spending per user in the Retail Platform Advertising market market in Malta is projected to amount to US$91.57 in 2024.
In global comparison, most ad spending will be generated the United States, which is expected to reach US$57.63bn in 2024.
Malta's retail platform advertising sector is increasingly embracing digital innovation, reflecting a broader trend of enhanced consumer engagement and personalized marketing strategies.

Definition:

Retail platform advertising (RPA) refers to digital ads displayed on websites and apps dedicated to retail platforms, such as Amazon, Walmart, eBay, Alibaba, and JD.com. This includes all types of advertising across various devices, e.g., PCs, smartphones, and tablets, and covers formats such as sponsored products, banners, and videos. RPA specifically excludes offline retail ads (e.g., in-store displays and billboards), off-site ads (e.g., ads appearing on non-retail websites or apps), ads on social media platforms (e.g., Facebook or Instagram), and ads on search engines (e.g., Google or Bing).

Additional Information:

It is important not to confuse RPA with retail media networks (RMNs). RMNs involve digital ads that are also displayed on retail e-commerce sites or apps, but these ads are purchased through a retailer’s media network or a demand-side platform (DSP). While RMNs include ads on sites such as Amazon and Walmart, they also cover ads bought through networks such as Amazon DSP, Walmart Connect, and Etsy’s Offsite Ads, and these ads may not necessarily appear directly on the retailer’s e-commerce site or app. Unlike RPA, RMNs represent a broader approach that encompasses a range of ad placements, both on and off the retailer’s own platforms.

Digital ads displayed on websites and apps dedicated to retail platforms
All types of advertising across various devices, e.g., PCs, smartphones, and tablets
All types of sponsored ad formats, such as sponsored products, banners, and videos

Offline retail ads (e.g., in-store displays and billboards)
Off-site ads (e.g., ads appearing on non-retail websites or apps)
Ads on social media platforms (e.g., Facebook or Instagram)
Ads on search engines (e.g., Google or Bing)

The Retail Platform Advertising Market in Malta is witnessing steady growth, influenced by factors such as the rising penetration of e-commerce, increased brand investment in digital campaigns, and the shift towards data-driven marketing strategies among local businesses.

Customer preferences: Consumers in Malta are increasingly gravitating towards personalized shopping experiences, reflecting a broader trend of customization in retail. The growing popularity of social media platforms as shopping venues has reshaped brand engagement strategies, encouraging retailers to invest in targeted advertisements that resonate with local cultural values. Additionally, the younger demographic, particularly millennials and Gen Z, is driving demand for sustainable and ethical products, prompting brands to adapt their messaging and offerings to align with these evolving consumer preferences.

Trends in the market: In Malta, the Retail Platform Advertising Market is experiencing a significant shift towards mobile-driven, personalized advertising, as brands increasingly leverage data analytics to tailor their marketing strategies. E-commerce integration with social media platforms is becoming a key focus, enabling retailers to create immersive shopping experiences that resonate with local consumers. Additionally, the emphasis on sustainability is prompting brands to showcase their commitment to ethical practices, appealing to the socially conscious preferences of younger shoppers. This evolution is reshaping industry dynamics, compelling stakeholders to innovate their approaches to remain relevant in a competitive market.

Local special circumstances: In Malta, the Retail Platform Advertising Market is characterized by its unique geographical positioning and a strong cultural emphasis on community engagement. The small island nation fosters close-knit consumer relationships, allowing brands to leverage localized marketing strategies effectively. Additionally, Malta's regulatory framework encourages innovation while ensuring consumer protection, creating a balanced environment for advertisers. The multilingual population further enriches advertising strategies, enabling personalized content that resonates with diverse demographic segments. This blend of factors is driving a more targeted and responsive retail advertising landscape.

Underlying macroeconomic factors: The Retail Platform Advertising Market in Malta is significantly shaped by macroeconomic factors such as economic stability, consumer spending patterns, and digital transformation trends. The island's robust tourism sector bolsters disposable incomes, resulting in increased advertising budgets as brands seek to capture both local and tourist markets. Furthermore, Malta's strategic investment in digital infrastructure enhances the effectiveness of retail advertising platforms, fostering innovation. Global economic trends, such as the shift towards e-commerce and personalized marketing, also influence local strategies, compelling advertisers to adapt quickly to changing consumer preferences and technological advancements, thereby reshaping the marketplace.

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).

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