Retail Platform Advertising - Turkey

Ad spending in the Retail Platform Advertising market market in Turkey is projected to reach US$511.10m in 2024.
Ad spending in Turkey is expected to demonstrate an annual growth rate (CAGR 2024-2030) of 9.61%, resulting in a projected market volume of US$886.30m by 2030.
The average ad spending per user in the Retail Platform Advertising market market in Turkey is projected to amount to US$22.82 in 2024.
In global comparison, most ad spending will be generated the United States, with a total of US$57.63bn in 2024.
In Turkey, the rise of e-commerce has significantly boosted retail platform advertising, prompting brands to increasingly invest in targeted digital 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 Turkey is witnessing subdued growth, influenced by factors such as increasing competition, evolving consumer behaviors, and regulatory challenges that impact spending patterns in the advertising sector.

Customer preferences: Consumers in Turkey are increasingly favoring personalized shopping experiences, prompting retail platforms to invest in targeted advertising strategies. This evolution is driven by a younger demographic that values authenticity and engagement over traditional marketing methods. Additionally, social media influencers play a significant role in shaping purchasing decisions, as consumers seek relatable recommendations. The rise of e-commerce and mobile shopping reflects a shift towards convenience, with many preferring seamless and quick access to products tailored to their lifestyles, highlighting the need for adaptive retail strategies.

Trends in the market: In Turkey, the Retail Platform Advertising Market is experiencing a surge in personalized marketing initiatives, as retailers leverage consumer data to deliver tailored advertisements. This trend is largely driven by a tech-savvy younger population that prioritizes authenticity and direct engagement over traditional advertising methods. Additionally, the influence of social media personalities is reshaping consumer preferences, leading to a higher demand for relatable product endorsements. As e-commerce and mobile shopping become the norm, retailers must adapt their strategies to ensure seamless, user-friendly experiences that cater to individual lifestyles, ultimately affecting their market competitiveness.

Local special circumstances: In Turkey, the Retail Platform Advertising Market is uniquely influenced by its diverse cultural landscape and strong e-commerce growth, which is complemented by a young, urban population that embraces digital shopping. The interplay of traditional values and modern consumer behavior necessitates advertising strategies that resonate with local customs while leveraging advanced technology. Additionally, regulatory frameworks promoting digital commerce foster an environment conducive to innovative marketing solutions. This blend of cultural and regulatory factors drives a dynamic advertising landscape that is distinctly Turkish.

Underlying macroeconomic factors: The Retail Platform Advertising Market in Turkey is significantly shaped by macroeconomic factors such as rapid e-commerce expansion, inflationary pressures, and exchange rate fluctuations. The continued growth of digital platforms is bolstered by rising consumer spending and an increasing shift towards online shopping, driven by a tech-savvy youth demographic. However, national economic health, characterized by inflation and currency volatility, poses challenges for advertising budgets and pricing strategies. Additionally, supportive fiscal policies aimed at enhancing digital infrastructure and investment in advertising technology create a favorable environment for innovative marketing, enabling retailers to effectively engage consumers in a competitive landscape.

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.