AR Advertising - Africa

  • Africa
  • In Africa, revenue in the AR Advertising market market is projected to reach US$117.2m in 2024.
  • Revenue in this region is expected to display an annual growth rate (CAGR 2024-2029) of 9.26%, leading to a projected market volume of US$182.5m by 2029.
  • Although the majority of revenue is generated the United States, in Africa is anticipated to contribute significantly with a projected market volume of US$1,224.0m in 2024.
  • In Africa, the AR advertising market is rapidly evolving, driven by increasing mobile penetration and innovative campaigns tailored to diverse local cultures.
 
Market
 
Region
 
Region comparison
 
Currency
 

Analyst Opinion

The AR Advertising market in Africa is experiencing steady growth and development, driven by increasing customer preferences for immersive and interactive advertising experiences. With the rise of smartphone penetration and internet connectivity in the region, African consumers are becoming more receptive to AR advertising, which offers a unique and engaging way to interact with brands and products.

Customer preferences:
African consumers are increasingly drawn to AR advertising due to its ability to provide interactive and personalized experiences. AR technology allows consumers to visualize products in their own environment, try on virtual clothing, or even test drive virtual cars. This level of interactivity not only enhances the shopping experience but also helps consumers make more informed purchasing decisions. Additionally, AR advertising appeals to younger demographics who are more tech-savvy and seek novel and engaging experiences.

Trends in the market:
One of the key trends in the AR Advertising market in Africa is the integration of AR technology into social media platforms. Social media usage is on the rise in Africa, and platforms like Facebook, Instagram, and Snapchat are leveraging AR capabilities to enhance the advertising experience. AR filters and lenses are becoming increasingly popular, allowing users to overlay virtual elements onto their photos and videos. This trend is driving the adoption of AR advertising among brands looking to reach a wider audience through social media platforms. Another trend in the AR Advertising market in Africa is the use of AR in the tourism and hospitality industry. African countries are known for their rich cultural heritage and natural beauty, and AR technology is being used to showcase these attractions to potential tourists. AR apps and experiences allow users to explore historical sites, view virtual exhibits, and even take virtual tours of hotels and resorts. This trend is particularly relevant in a post-pandemic world, where travel restrictions have limited physical tourism.

Local special circumstances:
One of the unique challenges in the AR Advertising market in Africa is the digital divide. While smartphone penetration is increasing, there are still significant disparities in internet connectivity across the continent. This can limit the reach and effectiveness of AR advertising campaigns, particularly in rural areas with limited access to high-speed internet. However, as infrastructure improves and connectivity becomes more widespread, the potential for AR advertising in Africa will continue to grow.

Underlying macroeconomic factors:
The growth of the AR Advertising market in Africa is also influenced by underlying macroeconomic factors. Economic growth and rising disposable incomes are driving consumer spending and increasing demand for innovative advertising solutions. Additionally, the increasing presence of multinational companies in the region is fueling investment in AR advertising, as these companies seek to leverage the growing consumer market in Africa. In conclusion, the AR Advertising market in Africa is experiencing steady growth and development, driven by increasing customer preferences for immersive and interactive advertising experiences. The integration of AR technology into social media platforms and its use in the tourism and hospitality industry are key trends shaping the market. However, challenges related to the digital divide need to be addressed to fully unlock the potential of AR advertising in Africa. Overall, the underlying macroeconomic factors, such as economic growth and rising disposable incomes, are creating a favorable environment for the growth of the AR Advertising market in Africa.

Methodology

Data coverage:

The data encompasses B2C enterprises. Figures are based on AR advertising revenue, which includes pop-up advertising displayed in social media apps, gaming apps, and eCommerce apps as well as advertising that is integrated into the virtual world.

Modeling approach / market size:

The market size is determined through a top-down approach. We use annual financial reports of the market-leading companies and industry associations, as well as third-party studies and reports 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 consumer spending, internet penetration, 4G coverage, and historical developments.

Forecasts:

We apply a variety of forecasting techniques, depending on the behavior of the relevant market. For instance, the S-curve function and exponential trend smoothing are well suited for forecasting digital products and services due to the non-linear growth of technology adoption. The main drivers are level of digitalization, adoption of technology, GDP per capita, and internet penetration.

Additional notes:

The data is modeled using current exchange rates. The market is updated twice a year in case market dynamics change. The impact of the COVID-19 pandemic and the Russia-Ukraine war are considered at a country-specific level. 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).

Overview

  • Revenue
  • Analyst Opinion
  • Global Comparison
  • Methodology
  • Key Market Indicators
Please wait

Contact

Get in touch with us. We are happy to help.
Statista Locations
Contact Meredith Alda
Meredith Alda
Sales Manager– Contact (United States)

Mon - Fri, 9am - 6pm (EST)

Contact Yolanda Mega
Yolanda Mega
Operations Manager– Contact (Asia)

Mon - Fri, 9am - 5pm (SGT)

Contact Ayana Mizuno
Ayana Mizuno
Junior Business Development Manager– Contact (Asia)

Mon - Fri, 10:00am - 6:00pm (JST)

Contact Lodovica Biagi
Lodovica Biagi
Director of Operations– Contact (Europe)

Mon - Fri, 9:30am - 5pm (GMT)

Contact Carolina Dulin
Carolina Dulin
Group Director - LATAM– Contact (Latin America)

Mon - Fri, 9am - 6pm (EST)