In the multibillion-dollar advertising industry, the Asia-Pacific region is one of the most dynamic and ever-changing markets. Following North America, the region accounts for the second-highest
, over 200 billion U.S. dollars. Several APAC countries, such as China, Japan, and Indonesia, rank among the
. While China has the region's highest ad spend at over 90 billion U.S. dollars, Japan is home to two of the
Tried and tested - television advertising in APAC
Advertising entails traditional forms like newspaper, magazine, radio, cinema, and television as well as digital mediums such as internet, mobile, and social media. Out of the traditional mediums, television advertising is the biggest segment in the Asia-Pacific region, with
annual expenditures of over 50 billion U.S. dollars. However, a slight downward trend in
TV ad spend can be seen across the region. This development is particularly evident in China, where
revenue from TV advertising is projected to decrease significantly over the next few years. On the other hand,
TV ad revenue in India is on track to recover to pre-pandemic levels and even surpass them, remaining the country's most valuable advertising medium.
COVID-19 has accelerated the digitalization of advertising
In recent years, digital forms of advertising have increasingly become more popular. In the Asia-Pacific region, internet ads surpassed television advertising in 2016 to become the
medium with the highest ad spend. While the coronavirus outbreak saw advertisers and marketers cut back on expenses across most mediums, digital ad spend continued to grow. One such example is ad-supported video-on-demand (AVOD) services, where China, Japan, and India are among the markets with the highest
revenues worldwide. These platforms provide a digital alternative to traditional TV advertising. Since global market leader YouTube is not available in China, the country has its very own AVOD landscape with platforms like Tencent Video, iQiyi, and Yokou. As consumers have gotten used to turning to such online environments for shopping and entertainment during the pandemic,
digital advertising in the Asia-Pacific region can be expected to grow further over the next few years.
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