TV & Video Advertising - Ethiopia

Ad spending in the TV & Video Advertising market in Ethiopia is estimated to reach US$39.17m in 2024.
The largest market within this industry is Traditional TV Advertising, with a market volume of US$32.60m in 2024.
When compared globally, the United States is expected to generate the highest ad spending, reaching US$144.60bn in 2024.
The average ad spending per user in the Traditional TV Advertising market is projected to be US$0.57 in 2024.
By 2030, the number of TV viewers in Ethiopia is anticipated to reach 0.0users.
Ethiopia's TV & Video Advertising market is experiencing a surge in demand, driven by increased digital consumption habits among the population.

Definition:
TV & Video Advertising includes advertising in the form of moving visual images instead of traditional broadcast television and all ad formats within digital video channels. Traditional TV Advertising includes non-digital formats and excludes all forms of digital TV advertising. Traditional TV Advertising also covers all ad spending on pay-TV operators and networks, free-to-air networks, and free-to-air spin-off digital channels from terrestrial network operators. In comparison, Digital Video Advertising includes all ad formats within webpage-based videos, app-based video players, social media, or streaming apps that appear on computer screens, smartphones, tablets, and other internet-connected devices.

Structure:

Traditional TV Advertising includes all ad spending on moving image formats broadcasted via traditional transmission channels such as terrestrial and digital terrestrial (DTTV, DTT, DTTB) TV, cable TV, satellite TV, and linear TV delivered via Internet Protocol television (IPTV).
Digital Video Advertising formats are displayed as instream and outstream video ads. Instream video ads include advertising that appears before, during, or after the streamed video (pre-roll, mid-roll, and post-roll video ads) and video overlays (text- or image-based overlays that appear while watching a video). Outstream video ads include video advertising that appears in non-video environments, e.g., in-feed on social media or text-based content (so-called native advertising).

Additional information:
The TV & Video Advertising market comprises advertising spending, users, average revenue per user, and user demographic. The market only displays B2B spending and users for the market. Figures are based on advertising spending and exclude agency commissions, rebates, production costs, and taxes. Additional definitions of Traditional TV Advertising and Digital Video Advertising can be found on the respective pages. For more information on the data displayed, use the info button right next to the boxes.

Traditional linear TV advertising broadcasted over traditional transmission channels (e.g., DTT, cable, satellite)
Digital video advertising covering all ad formats within webpage based videos, app based video players, social media networks or social media apps

Video ads on pages that are not in a video player

The TV & Video Advertising market in Ethiopia has been experiencing significant growth in recent years, driven by changing customer preferences and local special circumstances. Customer preferences in Ethiopia have shifted towards digital media consumption, with an increasing number of people accessing TV and video content through online platforms. This trend can be attributed to the growing availability of high-speed internet and the widespread adoption of smartphones. As a result, advertisers are increasingly focusing their efforts on digital advertising channels to reach their target audience. In addition to the rise of digital media consumption, there are several other trends shaping the TV & Video Advertising market in Ethiopia. One notable trend is the growing popularity of video streaming services. With the introduction of affordable streaming platforms, more people are opting to watch TV shows and movies online rather than through traditional television channels. This shift in viewing habits has led advertisers to allocate a larger portion of their advertising budgets towards digital video platforms. Another trend in the market is the increasing demand for localized content. Ethiopian consumers have shown a preference for content that is relevant to their culture and language. As a result, advertisers are investing in producing localized advertisements that resonate with the local audience. This trend has created opportunities for local content creators and production companies to collaborate with advertisers and create engaging and culturally relevant advertisements. Local special circumstances also play a role in the development of the TV & Video Advertising market in Ethiopia. The country has a large population, with a significant percentage of the population being young and tech-savvy. This demographic profile presents a lucrative market for advertisers, as young people are more likely to engage with digital advertising and are early adopters of new technologies. Underlying macroeconomic factors also contribute to the growth of the TV & Video Advertising market in Ethiopia. The country has been experiencing steady economic growth, which has led to an increase in disposable income. As a result, advertisers have a larger pool of potential customers who can afford their products and services. Additionally, the government has been investing in infrastructure development, including the expansion of internet connectivity. This investment has facilitated the growth of digital media consumption and created opportunities for advertisers to reach a wider audience. In conclusion, the TV & Video Advertising market in Ethiopia is developing rapidly due to changing customer preferences, local special circumstances, and underlying macroeconomic factors. The shift towards digital media consumption, the popularity of video streaming services, and the demand for localized content are driving advertisers to invest in digital advertising channels. Furthermore, the country's large and tech-savvy population, coupled with economic growth and infrastructure development, create a favorable environment for the growth of the TV & Video Advertising market in Ethiopia.

Data coverage:

Data encompasses enterprises (B2B). Figures are based on TV and video advertising spending and exclude agency commissions, rebates, production costs, and taxes. The market covers traditional TV advertising (non-digital formats such as terrestrial TV, cable TV, satellite TV, and linear TV) and digital video advertising (video ad formats: web-based, app-based, on social media, and connected devices).

Modeling approach:

Market size is determined by a combined top-down and bottom-up approach. We use annual financial reports of the market-leading companies and industry associations, third-party reports, web traffic, and survey results from our primary research (e.g., Consumer Insights Global Survey) to analyze the markets. 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, population, media consumption, internet users, consumer spending, 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.