TV & Video Advertising - GCC | Statista Market Forecast

Ad spending in the TV & Video Advertising market in GCC is forecasted to reach US$1.09bn by 2024.
The largest market within this market is Digital Video Advertising, with a market volume of US$772.90m in 2024.
When looking at global figures, the United States is expected to lead in ad spending, reaching US$144.60bn in 2024.
The average ad spending per user in the Digital Video Advertising market is projected to be US$16.11 in 2024.
By 2030, the number of TV Viewers in the GCC region is anticipated to reach 0.0users.
In the GCC, TV & Video Advertising is rapidly shifting towards targeted digital campaigns to reach specific audiences effectively.

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 GCC is experiencing significant growth due to changing customer preferences and the influence of local special circumstances.

Customer preferences: Customers in the GCC region are increasingly turning to digital platforms for their entertainment needs, with a growing preference for streaming services and online video content. This shift in customer behavior is driven by factors such as convenience, flexibility, and a desire for personalized content. As a result, advertisers are focusing their efforts on digital advertising channels, including video ads on streaming platforms and social media.

Trends in the market: One of the key trends in the TV & Video Advertising market in GCC is the rise of programmatic advertising. Programmatic advertising allows advertisers to target specific audiences and deliver personalized messages at scale. This trend is driven by the increasing availability of data and advanced targeting capabilities, which enable advertisers to reach their desired audience more effectively. Programmatic advertising also offers greater efficiency and cost-effectiveness compared to traditional TV advertising. Another trend in the market is the integration of advertising into video content. Advertisers are increasingly partnering with content creators and influencers to create branded content that seamlessly integrates with the video content. This approach allows advertisers to engage with audiences in a more organic and non-intrusive way, enhancing the overall viewing experience. Additionally, this trend is driven by the growing popularity of influencer marketing and the desire to reach younger, digitally-savvy audiences.

Local special circumstances: The TV & Video Advertising market in GCC is influenced by unique local circumstances. One such circumstance is the high smartphone penetration rate in the region. GCC countries have some of the highest smartphone penetration rates globally, which presents a significant opportunity for advertisers to reach consumers through mobile video advertising. Advertisers are leveraging this trend by creating mobile-friendly video ads that are optimized for smaller screens and shorter attention spans. Another local circumstance that impacts the market is the cultural and linguistic diversity of the GCC region. Advertisers need to tailor their video ads to cater to the diverse population, taking into account cultural sensitivities and language preferences. This requires a deep understanding of the local market and the ability to create content that resonates with different segments of the population.

Underlying macroeconomic factors: The TV & Video Advertising market in GCC is also influenced by underlying macroeconomic factors. The region has been experiencing economic diversification and growth, with governments investing in sectors such as technology and entertainment. This has led to increased spending on advertising and marketing, particularly in the digital space. Additionally, the young and tech-savvy population in the GCC region is driving demand for digital content and advertising, further fueling the growth of the TV & Video Advertising market. In conclusion, the TV & Video Advertising market in GCC is witnessing growth due to changing customer preferences, such as the shift towards digital platforms and the rise of programmatic advertising. Local special circumstances, including high smartphone penetration rates and cultural diversity, also play a significant role in shaping the market. Furthermore, underlying macroeconomic factors, such as economic diversification and a young population, contribute to the growth of the market.

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.