Social Media Advertising - Cambodia

Cambodia

Highlights

In Cambodia, ad spending in the Social Media Advertising market market is projected to reach US$34.55m in 2024.
This ad spending is expected to exhibit an annual growth rate (CAGR 2024-2030) of 10.75%, leading to a projected market volume of US$63.75m by 2030.
In a global context, the majority of ad spending will be generated China, with a projection of US$84.65bn in 2024.
Within the Social Media Advertising market market in Cambodia, it is anticipated that 70% of total ad spending will be generated through mobile by 2030.
Furthermore, the number of users in the Social Media Advertising market market in Cambodia is expected to reach 10.9m users by 2030.
In Cambodia, the rapid growth of internet penetration is driving businesses to increasingly invest in social media advertising to engage younger audiences.

Key regions:

Market definitionIn-Scope/Out-of-scopeMarket structureReportsMethodology

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

Customer preferences: Cambodian consumers have shown a strong preference for social media platforms as a means of communication and entertainment. With a high smartphone penetration rate and increasing internet access, social media has become an integral part of daily life for many Cambodians. This has created a large and engaged user base, making social media advertising an effective way for businesses to reach their target audience.

Trends in the market: One of the key trends in the Social Media Advertising market in Cambodia is the rise of influencer marketing. Influencers, who have a significant number of followers on social media platforms, are increasingly being used by businesses to promote their products and services. This is particularly popular among younger consumers who trust the recommendations of influencers and are more likely to make a purchase based on their endorsements. Another trend in the market is the growing use of video content in social media advertising. With the popularity of platforms like Facebook and YouTube, businesses are leveraging the power of video to capture the attention of consumers. Video ads are more engaging and have higher conversion rates compared to traditional text or image-based ads.

Local special circumstances: Cambodia has a relatively young population, with a large percentage of the population under the age of 30. This demographic is highly active on social media and spends a significant amount of time on these platforms. This presents a unique opportunity for businesses to target this demographic through social media advertising. Additionally, Cambodia has a growing middle class with increasing purchasing power. This has led to a rise in consumer spending and a greater demand for products and services. Businesses are capitalizing on this trend by using social media advertising to promote their offerings and attract customers.

Underlying macroeconomic factors: Cambodia has experienced steady economic growth in recent years, which has contributed to the development of the Social Media Advertising market. As the economy continues to expand, businesses have more resources to allocate towards advertising and marketing. This has led to increased investment in social media advertising as businesses recognize its effectiveness in reaching their target audience. Furthermore, the government of Cambodia has been actively promoting the digital economy and encouraging the use of technology in various sectors. This has created a favorable environment for the growth of the Social Media Advertising market, as businesses are provided with the necessary infrastructure and support to engage in digital marketing activities. In conclusion, the Social Media Advertising market in Cambodia is experiencing significant growth due to customer preferences for social media platforms, the rise of influencer marketing, the use of video content, the young population, the growing middle class, steady economic growth, and government support for the digital economy. As these trends and factors continue to drive the market, businesses in Cambodia are likely to continue investing in social media advertising to reach their target audience and drive sales.

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.