Global Online Advertising Market Analysis, Drivers, Restraints, Opportunities, Threats, Trends, Applications, and Growth Forecast to 2028

Global Online Advertising Market: Overview

“The global Online Advertising Market size is expected to be worth around US$ xx Billion by 2021 from US$ X.xx million in 2031, growing at a CAGR of X.x% during the forecast period 2021 to 2031.”

Online advertising which is also mentioned as web advertising, online marketing or Internet advertising. It is a format of marketing which is carried out by using the Internet for delivering the promotional messages regarding the products and services to consumers.

Global Online Advertising Market: Dynamics

An increasing number of Internet users globally coupled with the high proliferation of smartphones are some major factors expected to drive growth of the global market. Online advertising is one of the cost-effective advertising solutions as compared to other media such as newspaper, magazines, etc. which is a factor projected to support the revenue growth of the target market. In addition, one of the major benefits of online advertising is it aids to reach a maximum number of target customers regardless of geographical barrier and aids to increase the international trade.  This is a factor expected to propel the target market growth over the forecast period.

Due to the advancements in the advertising industry as well as drastically increasing digitalization among various sectors are some factors expected to influence growth of the target market. The availability of multiple tools such as big data and other customer analysis tools are facilitating the online advertisers to reach the target audience coupled with increasing penetration of the internet globally, are some additional factors propelling the global market growth over the forecast period.

The rapid growth of the e-commerce industry is another factor anticipated to propel global market growth. Increasing utilization of social media platforms such as Facebook, Instagram, etc., especially among young population creating the lucrative opportunities for online marketing companies to reach the maximum number of end users or customers to promote their products.

Key trends observed in the global market are increasing adoption of artificial intelligence as an advertising tool, increasing adoption of programmatic advertising and marketing the goods or products on wearable devices.

However, a specific group of consumer finds these advertisements (especially, pop-up ads) annoying and blocks these ads which is one of the major factor expected to hamper the target market growth over the forecast period.

Global Online Advertising Market: Segmental Analysis

Among the format segments, the mobile segment is expected to contribute for significant revenue shares of the global market, which can be attributed to growing penetration of the smartphone and Internet.

Among the industry verticals segments, the retail segment is anticipated to register substantial growth. This can be attributed to the rapidly growing sub-segments of the consumer retail industry such as electronics, apparel & accessories, etc.

Global Online Advertising Market: Regional Analysis

The online advertising market in Asia Pacific is expected to register substantial growth, owing to increasing digitalization among various industries such as banking, education, etc. The rapid expansion of the retail industry including food retail chains, apparel and accessory stores, etc., are adopting online advertising for marketing their goods among growing online surfing population. This is another factor expected to support growth of the target market in this region.

North America online advertising market is expected to contribute significant revenue shares in the online advertising market over the forecast period. This can be attributed to the strong presence of online marketing companies in this region.

Global Online Advertising Market Segmentation:

Segmentation by Format:

• Search Engine Marketing
• Display Advertising
• Classified
• Mobile
• Digital Video
• Lead Generation
• Rich Media

Segmentation by Industry Verticals:

• Banking, Financial Services, and Insurance (BFSI)
• CPG (Consumer Packaged Goods)
• Automotive
• Healthcare
• Retail
• Education
• Others (Industrial, Media and Entertainment, and Transport & Tourism, etc.)

Segmentation by Region:

• North America
• Europe
• Asia Pacific
• Latin America
• Middle East & Africa