Market Insights Advertising & Media Advertising

Social Media Advertising - Argentina

Argentina

Ad spending in the Social Media Advertising market is projected to reach US$0.50bn in 2024.
Ad spending is expected to show an annual growth rate (CAGR 2024-2029) of 8.73%, resulting in a projected market volume of US$0.76bn by 2029.
In global comparison, most ad spending will be generated in China (US$84,650.00m in 2024).
In the Social Media Advertising market, the number of users is expected to amount to 42.3m users by 2029.

Key regions: United States, France, Japan, Europe, Germany

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Currency

Analyst Opinion

The Social Media Advertising market in Argentina has been experiencing significant growth in recent years.

Customer preferences: Argentinian consumers have shown a strong preference for social media platforms as a means of communication and information sharing. With a high internet penetration rate and a large population of active social media users, Argentina provides a fertile ground for social media advertising. Consumers in Argentina are increasingly using social media platforms to discover new products and services, connect with brands, and make purchasing decisions. This has created a demand for targeted and personalized advertising on these platforms.

Trends in the market: One of the key trends in the Social Media Advertising market in Argentina is the growing use of influencer marketing. Influencers, who have a large following on social media platforms, are being utilized by brands to promote their products and services to a highly engaged audience. This form of advertising is particularly effective in Argentina due to the high level of trust that consumers place in influencers and their recommendations. Another trend in the market is the increasing use of video content in social media advertising. Videos have proven to be highly engaging and shareable, and brands are leveraging this medium to capture the attention of their target audience. With the rise of platforms like TikTok and the popularity of video content on platforms like Instagram and Facebook, video advertising has become an integral part of social media marketing strategies in Argentina.

Local special circumstances: One of the unique aspects of the Social Media Advertising market in Argentina is the dominance of certain platforms. While platforms like Facebook, Instagram, and Twitter are popular globally, in Argentina, WhatsApp and YouTube hold a particularly strong position. WhatsApp is widely used for communication and sharing content, making it an attractive platform for advertising. YouTube, on the other hand, is the go-to platform for video content, and brands are leveraging its popularity to reach a wide audience.

Underlying macroeconomic factors: The growth of the Social Media Advertising market in Argentina can be attributed to several underlying macroeconomic factors. The country has seen a steady increase in internet penetration, with more people gaining access to the internet and social media platforms. Additionally, the rise of smartphones has made it easier for consumers to access social media on the go, further fueling the growth of the market. Furthermore, the increasing digitalization of businesses in Argentina has contributed to the growth of social media advertising. As more businesses recognize the importance of an online presence, they are investing in social media advertising to reach their target audience and drive sales. This trend is expected to continue as more businesses embrace digital marketing strategies. In conclusion, the Social Media Advertising market in Argentina is experiencing significant growth due to customer preferences for social media platforms, trends such as influencer marketing and video content, local special circumstances like the dominance of WhatsApp and YouTube, and underlying macroeconomic factors such as increased internet penetration and digitalization of businesses.

Methodology

Data coverage:

Data encompasses enterprises (B2B). Figures are based on social media advertising spending and exclude agency commissions, rebates, production costs, and taxes. The market covers social media advertising generated by social networks or business networks such as Facebook, Tiktok, Instragram, Pinterest, and LinkedIn.

Modeling approach:

A combined top-down and bottom-up approach determines the market size. Starting with the top-down approach, we calculate global social media advertising by aggregating revenues from key players (Meta Platforms (Facebook and Instagram), ByteDance (Tiktok and Douyin), Twitter, Snapchat, and Microsoft (LinkedIn)). Followed by the bottom-up approach, we justify global, country, and region results using web traffic and the number of app downloads. Lastly, we distribute the results to each country individually with relevant indicators such as GDP, internet users, social media users, and digital consumer spending by country.

Forecasts:

We use a variety of forecasting techniques, depending on the behavior of the market. For instance, 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 case market dynamics change.