by The Global TV Ad Spending Market is estimated to be valued at US$ 130.22 Bn in 2023 and is expected to exhibit a CAGR of 6.7% over the forecast period 2023-2030, as highlighted in a new report published by Coherent Market Insights.
Market Overview:
The TV ad spending market refers to the revenue generated from television advertisement spending. TV remains one of the most popular mediums for advertisement among brands and corporations worldwide due to its wide reach. TV ads help companies promote their products and services to a large audience base. Moreover, TV viewing accounts for a major portion of total media consumption globally. Traditionally, TV ads were limited to broadcast through cable and satellite networks. However, with increasing digitization and adoption of smart TVs and OTT platforms, TV ads delivery has become more targeted and data-driven.
Market key trends:
One of the major trends in the TV ad spending market is the rising popularity of digital and OTT advertising. With increasing availability of high-speed internet and proliferation of smart devices, viewers are spending more time streaming content online through apps and websites. This has prompted brands to shift some of their TV ad budgets towards digital platforms. Video advertisement through popular streaming apps like YouTube, Netflix, Amazon Prime Video etc. allow for hyper-targeted campaigns and real-time tracking of ad effectiveness. Moreover, the ability to target ads based on user location, past browsing history and interests has boosted the appeal of digital TV ads. Advanced data analytics is also helping advertisers optimize their ad strategies. This shift towards digital is expected to continue driving growth of the overall TV ad spending market during the forecast period.
Porter’s Analysis
Threat of new entrants: The TV Ad spending market requires huge investments and presence of established distribution channels. This acts as a barrier for new players.
Bargaining power of buyers: Large advertisers and media agencies have high bargaining power due to their ability to demand discounts or switch between TV networks and other media platforms.
Bargaining power of suppliers: TV networks have significant bargaining power over advertisers due to lack of substitutes for primetime shows and live sports content.
Threat of new substitutes: Threat from digital advertising on social media platforms, online video and mobile apps remains high. However, TV remains unparalleled for brand awareness.
Competitive rivalry: Intense competition exists between TV networks and content providers for advertising dollars and market share.
Key Takeaways
The Global Tv Ad Spending Market Share is expected to witness high growth, exhibiting CAGR of 6.7% over the forecast period, due to increasing focus of brands on broadcast TV for creating mass awareness. The North American region dominated the market in 2023, accounting for around 35% of the overall shares, due to high TV penetration and strong media spend in countries like US and Canada.
The regional analysis of TV Ad spending market, Asia Pacific is expected to witness fastest growth during the forecast period, owing to rising middle class population and improving economic conditions in major countries like China and India. Large advertisers are increasingly viewing Asia Pacific as a key market.
Key players operating in the TV Ad spending are Procter & Gamble, Amazon, Comcast, AT&T, General Motors, Verizon Communications, L’Oréal, The Walt Disney Company, Ford Motor Corporation, Samsung Electronics, Unilever, Toyota Motor Corporation, NBCUniversal (owned by Comcast), Alphabet Inc. (Google), Johnson & Johnson. These players are focusing on innovative advertising solutions and strategic partnerships to strengthen their market position.
*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it
Money Singh is a seasoned content writer with over four years of experience in the market research sector. Her expertise spans various industries, including food and beverages, biotechnology, chemical and materials, defense and aerospace, consumer goods, etc.
