Market Insights Advertising & Media Advertising TV & Video Advertising

Traditional TV Advertising - Norway

Norway

In Norway, ad spending in the Traditional TV Advertising market is forecasted to reach US$366.10m in 2024.
The market is anticipated to exhibit an annual growth rate (CAGR 2024-2029) of -1.57%, leading to a projected market volume of US$338.30m by 2029.
The average ad spending per TV Viewer in the Traditional TV Advertising market is projected to be US$51.86 in 2024.
By 2029, the number of users in the Traditional TV Advertising market is expected to reach 7.3m users.
Traditional TV advertising in Norway is experiencing a gradual decline as digital platforms continue to gain popularity among advertisers and viewers.

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.

Market

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Analyst Opinion

The Traditional TV Advertising market in Norway has been experiencing significant growth in recent years, driven by changing customer preferences and local special circumstances.

Customer preferences: Norwegian consumers have shown a strong preference for traditional TV advertising, despite the rise of digital and online platforms. This is partly due to the high quality of TV programming in Norway, which attracts a large audience and creates a captive market for advertisers. Additionally, many consumers still find traditional TV advertising to be more trustworthy and reliable compared to online ads, which can be seen as intrusive or untrustworthy.

Trends in the market: One of the key trends in the Traditional TV Advertising market in Norway is the increasing use of targeted advertising. Advertisers are leveraging data analytics and audience segmentation to deliver more personalized and relevant ads to viewers. This not only enhances the effectiveness of advertising campaigns, but also improves the overall viewing experience for consumers. As a result, advertisers are willing to invest more in traditional TV advertising in order to reach their target audience more effectively. Another trend in the market is the integration of digital elements into traditional TV advertising. Advertisers are increasingly using interactive features, such as QR codes or social media integration, to engage viewers and drive them to take action. This allows advertisers to measure the effectiveness of their campaigns and generate valuable data for future targeting and optimization.

Local special circumstances: One of the unique factors driving the growth of the Traditional TV Advertising market in Norway is the strong presence of public service broadcasting. The Norwegian Broadcasting Corporation (NRK) is a major player in the market and provides high-quality programming across a wide range of genres. This creates a favorable environment for advertisers, as they can reach a large and engaged audience through popular TV shows and events. Additionally, the Norwegian government has implemented regulations that limit the amount of advertising on TV channels. This ensures that viewers are not overwhelmed by ads and helps maintain the quality of programming. Advertisers in Norway are therefore able to reach a more attentive audience, which increases the effectiveness of their campaigns.

Underlying macroeconomic factors: The strong economy in Norway has also contributed to the growth of the Traditional TV Advertising market. With a high standard of living and disposable income, Norwegian consumers have the purchasing power to support advertising campaigns. This allows advertisers to invest more in traditional TV advertising and reach a larger audience. In conclusion, the Traditional TV Advertising market in Norway is experiencing growth due to customer preferences for high-quality TV programming, the use of targeted advertising and digital integration, as well as local special circumstances such as public service broadcasting and government regulations. The strong economy in Norway also plays a role in supporting the growth of the 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.