Market Insights Advertising & Media Advertising TV & Video Advertising

Traditional TV Advertising - CIS

Ad spending in the Traditional TV Advertising market in CIS is forecasted to reach US$2.37bn in 2024.
The annual growth rate (CAGR 2024-2029) is anticipated to be 2.26%, leading to a projected market volume of US$2.65bn by 2029.
The average ad spending per TV Viewer in the Traditional TV Advertising market is expected to be US$12.19 in 2024.
The number of users in the Traditional TV Advertising market is projected to reach 198.3m users by 2029 in CIS.
Traditional TV advertising in CIS countries is experiencing a shift towards digital platforms, reflecting changing consumer preferences and technological advancements.

Key regions: Germany, Europe, Japan, United Kingdom, Australia

Definition:
Traditional TV Advertising refers to 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). Terrestrial television uses traditional antennas that transmit analog signals. Analog terrestrial TV has undergone a digital switchover (DSO) to digital terrestrial TV in most parts of the world. For digital terrestrial TV, television broadcasting stations transmit TV content through radio waves to televisions in households in a digital format. Internet Protocol television (IPTV) refers to the delivery of television content via Internet Protocol networks. IPTV is used in subscriber-based telecommunications networks via set-top boxes or other customer-premises equipment (IPTV is included in the cable revenue split here). Traditional TV Advertising covers all ad spending on pay-TV operators and networks as well as free-to-air networks and free-to-air spin-off digital channels from terrestrial network operators. Usually, the distribution of advertising time in television programs is either carried out by the broadcasters themselves or by marketing agencies.

Structure:

Cable TV signals are transmitted through coaxial or fiber-optic cables directly to each household without the need for external antennas.
Satellite TV includes television programming with the use of communication satellites that transmit to satellite dishes. A dedicated satellite receiver (external set-top boxes or built into TV sets) decodes the television program.
Digital Terrestrial Television (DTT), sometimes known as direct-to-terrestrial television, is a type of television reception in which a signal is transmitted directly to a viewer's antenna rather than through a cable or satellite system. As a rule, HDTV signals are available through digital terrestrial television, and this type of television also makes better use of the radio spectrum.

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

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Region comparison

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Analyst Opinion

The Traditional TV Advertising market in CIS is experiencing significant growth due to changing customer preferences and market trends.

Customer preferences: Customers in the CIS region still have a strong preference for traditional TV advertising. They enjoy the experience of watching their favorite shows and movies on television and are more likely to pay attention to advertisements during these programs. Additionally, many households in the region do not have access to high-speed internet, making traditional TV advertising the most effective way to reach a wide audience.

Trends in the market: One of the key trends in the CIS TV advertising market is the increasing demand for local content. Viewers in the region are more likely to engage with advertisements that feature local actors, cultural references, and languages. Advertisers are recognizing this trend and are creating more localized campaigns to effectively target the CIS audience. Another trend in the market is the rise of programmatic advertising. Advertisers are leveraging technology to automate the buying and selling of TV ad inventory, allowing for more targeted and efficient advertising campaigns. This trend is particularly relevant in the CIS region, where advertisers are looking to maximize their return on investment and reach their target audience more effectively.

Local special circumstances: The CIS region is diverse, with multiple countries and languages. Advertisers need to consider these local special circumstances when creating their TV advertising campaigns. Cultural nuances, language preferences, and regional differences all play a significant role in the success of an advertisement. Advertisers that understand and tailor their campaigns to these local special circumstances are more likely to resonate with the audience and drive results.

Underlying macroeconomic factors: The CIS region has experienced economic growth in recent years, leading to an increase in disposable income. This has resulted in higher consumer spending, including on television and entertainment. As a result, advertisers are investing more in traditional TV advertising to capitalize on the growing consumer market. In conclusion, the Traditional TV Advertising market in CIS is growing due to customer preferences for traditional television, the increasing demand for local content, the rise of programmatic advertising, local special circumstances, and the underlying macroeconomic factors. Advertisers that understand and adapt to these trends and circumstances are well-positioned to succeed in the CIS TV advertising market.

Methodology

Data coverage:

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

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, 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, number of households with television, and 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.