Digital Video Advertising - MENA | Statista Market Forecast

Ad spending in the Digital Video Advertising market in MENA is forecasted to reach US$2.08bn by 2024.
The annual growth rate (CAGR 2024-2030) is expected to be 5.61%, leading to a projected market volume of US$2.89bn by 2030.
With a projected market volume of US$85.39bn in 2024, the United States is anticipated to generate the most revenue.
In MENA's Digital Video Advertising market, 69% of total ad spending is projected to be generated through mobile in 2030.
The average ad spending per internet user in the Digital Video Advertising market in MENA is projected to be US$4.45 in 2024.
Connected TV ad spending in MENA's Digital Video Advertising market is expected to reach US$159.70m in 2024, with an annual growth rate (CAGR 2024-2030) of 4.07%, resulting in a projected market volume of US$202.90m by 2030.
Ad spending on short-form videos in MENA's Digital Video Advertising market is projected to reach US$944.70m in 2024.
The ad spending on short-form videos is forecasted to have an annual growth rate (CAGR 2024-2030) of 8.89%, resulting in a projected market volume of US$1.57bn by 2030.
In MENA, the rise of programmatic buying is revolutionizing digital video advertising strategies for brands in the region.

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 MENA is experiencing rapid growth and evolution driven by changing customer preferences and local special circumstances.

Customer preferences: Customers in the MENA region are increasingly turning to digital video advertising due to its engaging and interactive nature. With the rise of social media platforms and streaming services, consumers are spending more time online, creating a lucrative opportunity for advertisers to reach their target audience through digital video content.

Trends in the market: In the UAE, digital video advertising is seeing a surge in popularity as the country boasts one of the highest internet penetration rates in the region. Advertisers are leveraging this trend by investing in high-quality video content tailored to the preferences of tech-savvy consumers. Additionally, the use of data analytics and targeting tools is enabling advertisers to deliver personalized video ads, further enhancing engagement and conversion rates.

Local special circumstances: Saudi Arabia presents a unique opportunity for digital video advertising due to its young population with a high smartphone penetration rate. Advertisers in the country are capitalizing on this demographic dividend by creating culturally relevant video content that resonates with the local audience. Moreover, the recent regulatory reforms aimed at boosting the digital economy have created a conducive environment for the growth of video advertising in the kingdom.

Underlying macroeconomic factors: The economic diversification efforts in the MENA region, coupled with the increasing digitalization of industries, are driving the growth of the digital video advertising market. As businesses shift towards online platforms to reach consumers, the demand for video advertising is expected to continue growing. Additionally, the region's favorable demographic profile, with a large youth population that is highly active online, further fuels the expansion of the digital advertising sector.

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.