Advertising - Vietnam | Statista Market Forecast

Ad spending in the Advertising market of Vietnam is forecasted to reach US$2.76bn in 2024.
The largest market within the country is TV & Video Advertising with a market volume of US$1.25bn in 2024.
When compared globally, the United States is expected to generate the highest ad spending with US$425.90bn in 2024.
Within the Advertising market of Vietnam, 61% of total ad spending will come from digital sources in 2030.
The average ad spending per capita in the TV & Video Advertising market is projected to be US$12.54 in 2024.
Furthermore, Advertising market of the 84% revenue in Vietnam will be generated through programmatic advertising in 2030.
Vietnam's advertising market is experiencing a shift towards digital platforms, with a surge in demand for online ad space and data-driven targeting strategies.

Definition:
Advertising spending refers to expenses for promotional strategies with which brands or businesses purchase advertising space to promote products or services. The primary purposes of advertising include creating awareness, generating interest, and persuading consumers to take a particular action such as purchasing a product, visiting a website, or supporting brands. Advertisers use advertising to reach their target audience while media companies and advertising agencies use it as a source of income.

Structure:
The advertising spending consists of two main channels (traditional advertising and digital advertising). Traditional Advertising refers to above-the-line media that delivers commercial messages to broad audiences. This includes mass media such as traditional TV, traditional radio, printed newspapers, printed magazines, and traditional out-of-home (OOH) advertising formats. Digital Advertising uses the internet to deliver marketing messages to internet users in various forms. This includes digital video, search engine, social media, digital out-of-home, digital banner, digital audio, digital classifieds, and influencer advertising.

Additional information:
The market comprises advertising spending, share by advertising channel, users, average revenue per user, advertising share by industry, ad spending by medium, and digital ad spending share (programmatic and non-programmatic). The market only displays B2B spending and users for the above-mentioned channels. Figures are based on advertising spending and exclude agency commissions, rebates, production costs, and taxes. Additional definitions for each market can be found on the respective pages. For more information on the data displayed, use the info button right next to the boxes.

Traditional advertising such as non-digital ads for TV and radio, as well as out-of-home advertising and print advertising
Digital advertising such as online ads for video, banner, audio, classifieds, and search engines, as well as digital out-of-home, social media, in-app, and connected TV advertising
Influencer advertising

Sponsorships/events and promotion
Product placement
Commission-based affiliate systems

The Advertising market in Vietnam has seen significant growth in recent years, driven by changing customer preferences and a favorable local business environment.

Customer preferences: Vietnamese consumers have become increasingly tech-savvy and connected, with a growing number of people using smartphones and accessing the internet. This has led to a shift in customer preferences towards digital advertising, as it allows for more targeted and personalized messaging. Additionally, there is a growing demand for mobile advertising, as people spend more time on their smartphones and tablets.

Trends in the market: One of the key trends in the Vietnamese advertising market is the rise of social media advertising. Platforms like Facebook and Instagram have gained popularity among Vietnamese users, providing advertisers with a highly engaged audience. Social media advertising allows for precise targeting based on demographics, interests, and behaviors, making it an effective tool for reaching the right audience. Another trend in the market is the increasing use of influencer marketing. Vietnamese consumers trust the opinions and recommendations of influencers, and brands are leveraging this by partnering with popular influencers to promote their products or services. Influencer marketing allows for a more authentic and relatable form of advertising, which resonates well with Vietnamese consumers.

Local special circumstances: Vietnam has a young and dynamic population, with a large proportion of the population under the age of 35. This demographic is highly receptive to new trends and technologies, making them an attractive target market for advertisers. Additionally, Vietnam has a rapidly growing middle class, which has led to increased consumer spending power. This presents opportunities for advertisers to tap into this growing market and promote their products or services.

Underlying macroeconomic factors: Vietnam has experienced strong economic growth in recent years, with a stable political environment and a favorable business climate. This has attracted foreign investment and led to the expansion of local businesses. As a result, there is increased competition among companies to capture the attention of Vietnamese consumers, driving the growth of the advertising market. Furthermore, the Vietnamese government has implemented policies to promote the development of the digital economy, including investments in infrastructure and the promotion of e-commerce. This has created a conducive environment for the growth of the advertising market, as businesses are able to reach a wider audience through digital channels. In conclusion, the Advertising market in Vietnam is experiencing significant growth due to changing customer preferences, such as the shift towards digital advertising and the rise of social media and influencer marketing. The country's young and dynamic population, growing middle class, and favorable business environment also contribute to the growth of the market. Additionally, underlying macroeconomic factors, such as strong economic growth and government support for the digital economy, further drive the development of the advertising market in Vietnam.

Data coverage:

Data encompasses enterprises (B2B). Figures are based on advertising spending and exclude agency commissions, rebates, production costs, and taxes. The market covers advertising by businesses for traditional and digital advertisements.

Modeling approach:

Market sizes are determined by a combined top-down and bottom-up approach, based on a specific rationale for each market market. As a basis for evaluating markets, 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). Next, we use relevant key market indicators and data from country-specific associations, such as GDP, internet users, consumer spending, and digital consumer spending. This data helps us estimate the market size for each country individually.

Forecasts:

In our forecasts, we apply diverse forecasting techniques. The selection of forecasting techniques is based on the behavior of the particular market. For example, 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 some cases, the data is updated on an ad-hoc basis (e.g., when new relevant data has been released or significant changes within the market have an impact on the projected development).

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

All advertising markets across the globe win, yet some win more than others. Ad spending worldwide reached almost 733 billion U.S. dollars in 2023, up less than three percent from the previous year. For comparison, in 2022, Switzerland ranked 20th among the leading economies by gross domestic product (GDP) with a result exceeding 800 billion dollars. Whereas global ad revenues concentrate in areas with either large populations or high purchase power – preferably both – their evolution depends on a larger set of indicators. It was forecast that, in 2024, South Asia will be the world's fastest-growing ad market, and the only out of nine with a double-digit increase rate: 12.1 percent. The second-placed region, comprising the United States and Canada, was projected to see its ad expenditure rise 7.6 percent.