Digital Video Advertising - EU-27

Ad spending in the Digital Video Advertising market in EU-27 is projected to reach US$11.61bn in 2024.
Ad spending is expected to show an annual growth rate (CAGR 2024-2030) of 5.17%, resulting in a projected market volume of US$15.71bn by 2030.
With a projected market volume of US$85.39bn in 2024, most revenue will be generated in EU-27.
In the Digital Video Advertising market, 83% of total ad spending will be generated through mobile in 2030.
The average ad spending per internet user in the Digital Video Advertising market is projected to amount to US$29.95 in 2024.
Connected TV ad spending in the Digital Video Advertising market is projected to reach US$1.69bn in 2024.
Connected TV is expected to show an annual growth rate (CAGR 2024-2030) of 4.51%, resulting in a projected market volume of US$2.20bn by 2030.
The Ad spending on short-form videos in the Digital Video Advertising market is projected to reach US$5.91bn in 2024.
The Ad spending on short-form videos is expected to show an annual growth rate (CAGR 2024-2030) of 9.50%, resulting in a projected market volume of US$10.18bn by 2030.
In the EU-27, the shift towards programmatic buying is revolutionizing the Digital Video Advertising market, offering targeted and efficient ad placements.

Definition:
Digital Video Advertising includes all ad formats within webpage-based videos, app-based video players, social media, or streaming apps on computer screens, smartphones, tablets, and other internet-connected devices. Videos that seamlessly match the form and function of the environment (e.g., news websites, video platforms) in which they appear (so-called native advertising) are also included in Digital Video Advertising.

Additional information:
Digital Video Advertising comprises advertising spending, connected-TV advertising spending, users, average revenue per user, and user demographic. The market only displays B2B spending. Figures are based on Digital Video Advertising spending and exclude agency commissions, rebates, production costs, and taxes. Key players in Digital Video Advertising include Comcast Corp., The Walt Disney Company, YouTube, TikTok, and Facebook. For more information on the data displayed, use the info button right next to the boxes.

All ad formats within webpage-based videos, app-based video players, social media networks, or social media apps
Pre-roll, mid-roll, and post-roll video ads
Text- or image-based overlays that appear in video players
Native advertising
Connected TV advertising
Ad spending on short-form videos

Traditional TV advertising video formats broadcasted over traditional transmission channels (e.g., DTT, cable, satellite)
Addressable TV ads, targeted advertising to individual households via set-top boxes; including cable and satellite using addressable technologies such as Dynamic Ad Insertion (DAI)

The Digital Video Advertising market in EU-27 is experiencing significant growth and development.

Customer preferences: Customers in the EU-27 are increasingly preferring digital video advertising over traditional forms of advertising. This shift in preference can be attributed to the rise of online video platforms and the increasing popularity of streaming services. Customers are finding digital video advertising to be more engaging, interactive, and personalized compared to traditional advertising methods. Additionally, the ability to target specific demographics and track the effectiveness of campaigns in real-time is appealing to customers.

Trends in the market: One of the key trends in the Digital Video Advertising market in the EU-27 is the increasing adoption of programmatic advertising. Programmatic advertising enables advertisers to automate the buying and selling of ad inventory, allowing for more efficient and targeted campaigns. This trend is driven by the advancements in data analytics and artificial intelligence, which enable advertisers to optimize their ad placements and reach the right audience at the right time. As a result, programmatic advertising is becoming the preferred method for buying and selling digital video ad inventory in the EU-27. Another trend in the market is the growth of mobile video advertising. With the increasing penetration of smartphones and high-speed internet, consumers in the EU-27 are spending more time on their mobile devices, particularly watching videos. Advertisers are capitalizing on this trend by investing in mobile video advertising to reach their target audience effectively. Mobile video advertising offers the advantage of being highly engaging and easily accessible to consumers on the go.

Local special circumstances: The Digital Video Advertising market in the EU-27 is influenced by local regulations and consumer preferences. Each country within the EU-27 has its own unique advertising regulations, which may impact the types of video ads that can be shown and the targeting options available to advertisers. Additionally, consumer preferences for video content may vary across countries, requiring advertisers to tailor their campaigns to local tastes and preferences.

Underlying macroeconomic factors: The growth of the Digital Video Advertising market in the EU-27 is supported by several macroeconomic factors. The EU-27 has a large and diverse population, providing advertisers with a vast audience to target. Furthermore, the region has a well-developed digital infrastructure, including high-speed internet and mobile networks, which enables the seamless delivery of video ads. Additionally, the EU-27 has a strong digital advertising industry, with many innovative startups and established players driving the market forward. The overall economic growth and stability in the EU-27 also contribute to the growth of the Digital Video Advertising market, as businesses allocate more resources to advertising to expand their reach and drive sales.

Data coverage:

Data encompasses enterprises (B2B). Figures are based on digital video advertising spending and exclude agency commissions, rebates, production costs, and taxes. The market covers video ad formats (web-based, app-based, social media, and connected devices).

Modeling approach:

Market size is determined by a combined top-down and bottom-up approach. We use market data from industry reports and survey results from our primary research (e.g., Consumer Insights Global Survey) to analyze the markets. Then we benchmark key countries or regions (United States, China, Europe, Asia, and Africa) results with country-specific advertising organizations or associations. To estimate the market size for each country individually, we use relevant key market indicators and data from country-specific industry associations, such as GDP, internet users, and digital consumer spending.

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.

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

From six-second bumper ads to multi-minute compilations, video marketing is constantly evolving, and audiences everywhere never fail to tune in. As the number of digital video viewers keeps rising every year, marketers embrace video as a promotional tool more vividly than ever. In 2023, digital video ad spending amounted to almost 176.63 billion dollars. Unsurprisingly, the United States remains the country with the highest spending on digital video ads, followed by China and the United Kingdom. Connected TV (CTV) and social video are among the most popular content marketing tactics worldwide, and the post-pandemic era has only consolidated companies’ dependency on these tools.