Market Insights Advertising & Media AR & VR

AR Advertising - Bangladesh

Bangladesh

In Bangladesh, revenue in the AR Advertising market market is projected to reach US$21.8m in 2024.
The revenue is expected to demonstrate an annual growth rate (CAGR 2024-2029) of 9.28%, leading to a projected market volume of US$34.0m by 2029.
Despite this growth, it is important to note that most revenue is generated the United States, with a projected market volume of US$1,224.0m in 2024.
In Bangladesh, the burgeoning interest in AR advertising is fostering innovative marketing strategies, particularly among tech-savvy youth and local brands.

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Analyst Opinion

The AR Advertising market in Bangladesh is experiencing significant growth and development.

Customer preferences: Customers in Bangladesh are increasingly embracing augmented reality (AR) advertising as it provides an immersive and interactive experience. AR advertising allows customers to engage with products and brands in a unique way, enhancing their overall shopping experience. With the growing popularity of smartphones and internet access in the country, consumers are more open to exploring new technologies and experiences.

Trends in the market: One of the key trends in the AR Advertising market in Bangladesh is the integration of AR technology into social media platforms. Social media platforms have a large user base in the country, and businesses are leveraging this by incorporating AR features into their advertising campaigns. This allows brands to reach a wider audience and engage with customers in a more personalized and interactive manner. Another trend in the market is the use of AR in the e-commerce sector. Online shopping is gaining popularity in Bangladesh, and AR technology is being used to enhance the virtual shopping experience. Customers can use AR to visualize products in their own space, try on virtual clothes, or see how furniture would look in their homes. This helps to bridge the gap between online and offline shopping, making the buying process more convenient and enjoyable for customers.

Local special circumstances: Bangladesh has a young and tech-savvy population, which contributes to the growth of the AR Advertising market. The country has a high smartphone penetration rate, and internet access is becoming more affordable and accessible. This creates a favorable environment for the adoption of AR technology and the growth of AR advertising. Furthermore, the government of Bangladesh has been promoting digitalization and technological advancements in the country. Initiatives such as the "Digital Bangladesh" campaign have created a supportive environment for the development of AR advertising. This has encouraged businesses to invest in AR technology and incorporate it into their marketing strategies.

Underlying macroeconomic factors: The economic growth of Bangladesh has also played a role in the development of the AR Advertising market. The country has experienced steady economic growth in recent years, leading to an increase in disposable income and consumer spending. This has created a larger market for businesses to target with their AR advertising campaigns. Additionally, the COVID-19 pandemic has accelerated the adoption of digital technologies in Bangladesh. With restrictions on physical interactions and the closure of brick-and-mortar stores, businesses have turned to AR advertising as a way to reach customers and drive sales. The pandemic has highlighted the importance of digital transformation and has further fueled the growth of the AR Advertising market in Bangladesh. In conclusion, the AR Advertising market in Bangladesh is growing rapidly due to customer preferences for immersive and interactive experiences, the integration of AR technology into social media platforms, and the use of AR in the e-commerce sector. The young and tech-savvy population, government support for digitalization, and favorable macroeconomic factors have also contributed to the development of the market. With the continued growth of the digital economy and advancements in AR technology, the AR Advertising market in Bangladesh is expected to witness further expansion in the coming years.

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).