Traditional TV Advertising - MENA

Ad spending in the Traditional TV Advertising market in MENA is forecasted to reach US$2.40bn in 2024.
The ad spending is anticipated to demonstrate an annual growth rate (CAGR 2024-2030) of 2.11%, leading to an estimated market volume of US$2.72bn by 2030.
The average ad spending per TV Viewer in the Traditional TV Advertising market in MENA is projected to be US$5.91 in 2024.
By 2030, the number of users in the Traditional TV Advertising market in MENA is expected to reach 0.0users.
In MENA, traditional TV advertising continues to thrive as a preferred medium for reaching a wide audience despite the rise of digital platforms.

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.

Moving image formats broadcasted over traditional transmission channels such as terrestrial and digital terrestrial (DTTV, DTT, DTTB) TV, cable TV, satellite TV, and linear TV delivered over Internet Protocol networks (IPTV)
Spending for pay-TV operators and networks as well as free-to-air networks and free-to-air spin-off digital channels from terrestrial network operators

Online TV advertising (e.g., ad spending for TV viewed online, delivered by traditional broadcasters via their websites)

The Traditional TV Advertising market in MENA region is experiencing significant growth and transformation.

Customer preferences: Customers in the MENA region still show a strong preference for Traditional TV Advertising due to its wide reach and ability to target a broad audience. Many viewers in the region continue to rely on television as their primary source of entertainment and information, making TV advertising a valuable medium for businesses to connect with their target market.

Trends in the market: In Saudi Arabia, the largest market in the region, there is a growing trend towards localized content and targeted advertising to cater to the diverse population. Advertisers are increasingly focusing on creating culturally relevant and personalized campaigns to resonate with the Saudi audience. Additionally, there is a rise in the use of data analytics and technology to optimize TV advertising strategies and measure the effectiveness of campaigns.

Local special circumstances: In Egypt, the political and social landscape heavily influences TV advertising trends. Advertisers often align their campaigns with popular TV shows and events that capture the attention of the Egyptian population. Ramadan, for example, is a prime time for TV advertising in Egypt, with businesses investing heavily in commercials during this period to reach a larger audience.

Underlying macroeconomic factors: The economic diversification efforts in the UAE are driving the growth of the TV advertising market in the country. As the UAE aims to reduce its reliance on oil revenues, there is a push towards developing other sectors such as media and entertainment. This shift is creating opportunities for advertisers to tap into a growing market and diversify their advertising strategies in the region.

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.

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

Television changed the world; now technology is changing television. After a pandemic-related decrease in ad spending in 2020, global television ad spending has since returned to growth over the first half of the 2020s but has not succeeded in going back to its pre-pandemic figures. At the same time, TV’s share of global ad spending has been decreasing year-after-year. TV’s global deceleration is mostly attributable to a slowdown in linear TV investments, while spending on digital TV is showing no signs of slowing down. Connected TV (CTV) ad revenue worldwide is expected to almost double between 2022 and 2028, as more and more viewers ditch linear TV in favor of devices connected to the internet.