Digital Video Ad Market size is set to grow by USD 249.42 billion from 2023-2027, Advertise.com Inc., Alphabet Inc. and ByteDance Ltd., and more to emerge as Some of the Key Vendors, Technavio

NEW YORK, April 22, 2024 /PRNewswire/ -- The global digital video ad market size is estimated to grow by USD 249.42 bn from 2023 to 2027, according to Technavio. The market is estimated to grow at a CAGR of 37.19% during the forecast period. North America held the largest share of the global market in 2022, and the market in the region is estimated to witness an incremental growth of  42%. 

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Major Players in the Market

Numerous companies are capitalizing on this growing trend by implementing strategic measures such as alliances, partnerships, mergers, and acquisitions. Among the notable players in the cheese based snacks market are:

Advertise.com Inc., Alphabet Inc., ByteDance Ltd., Digital Turbine Inc., Kargo Global Inc., Longtail Ad Solutions Inc., Magnite Inc., MediaMath Inc., Meta Platforms Inc., Microsoft Corp., Pinterest Inc., PubMatic Inc., Snap Inc., Tencent Holdings Ltd., Tremor International Ltd, Twitter Inc., Vdopia Inc., Verizon Communications Inc., Viant Technology LLC, Vireo Video Inc.

Analyst Review

In the dynamic business-to-business (B2B) landscape, enterprises continue to invest significantly in video advertising. Video advertising spending reaches new heights, with agencies earning commissions on these transactions. Rebates and production costs are crucial factors in the video ad market, impacting the overall budget. Taxes add to the expenses, but they are essential for compliance. Web traffic and media consumption have surged, driven by the increasing number of internet users. Digital consumer spending, particularly in the e-commerce sector, is a major contributor to the growth of digital video contents. Internet usage and digital capabilities are essential for enterprises to adapt to changing consumer behavior. Visual media dominates the marketing scene, with non-conventional platforms like desktops, mobile phones, OTT media platforms, and social media applications gaining popularity. Service delivery methodologies have evolved, with broadcasters embracing digital video contents to engage audiences effectively. The engagement rate is a critical metric for measuring the success of digital video ad campaigns.

Key Market Drivers

The Digital Video Ad Market experiences significant growth due to the increasing popularity of advertising campaigns on apps. Brands leverage video filming technology and recording equipment to create engaging content for Connected TVs, social media accounts, and OTT platforms. In-app advertisements offer brand exposure and loyalty, reaching targeted audiences through data collection. Advertising types include in-banner digital ads and companion ads, contributing to the online advertising industry's expansion. High-speed internet and technical improvements enable the online consumer spending trend, with digital spending on the S-curve function. Small businesses and enterprises (B2B) invest in video advertising, incurring production costs, agency commissions, rebates, taxes, and web traffic. Hindrances like quality of content and volume of traffic impact market growth. YouTube, Facebook, and e-commerce sites dominate digital content consumption, driving video advertising spending. The exponential trend smoothing of technology adoption in the e-commerce sector fuels the market's exponential growth.

Challenges and Opportunities

The digital video ad market is experiencing significant shifts due to changing consumer behavior in the e-commerce sector. With the rise of digital capabilities, consumers increasingly prefer ad-free environments while accessing visual media on non-conventional platforms like desktops, mobile phones, OTT media platforms, and social media applications. Brands are responding by investing in service delivery methodologies that cater to this demand. Broadcasters and e-commerce companies are integrating digital video contents into their advertising campaigns, utilizing vertical filming, videography, and recording equipment to enhance engagement rates. However, hindrances such as ad-blockers, which have become popular due to the increasing volume of intrusive in-banner digital ads and companion ads, pose challenges for the online advertising industry. Small businesses and brands must adapt to these changes by focusing on the quality of content, brand exposure through connected TVs and social media accounts, and effective search engine optimization to maintain brand loyalty on OTT platforms and high-speed internet.

The Digital Video Ad Market is experiencing exponential growth, with spending projected to rise from USD62 billion in 2021 to USD91 billion in 2024. Enterprises, particularly those in the media and entertainment industry, are increasing their video advertising budgets by 75% since 2018. Agency commissions, rebates, production costs, taxes, and web traffic are key factors influencing this spending. Technology adoption follows an S-curve function, with non-conventional platforms like OTT media platforms, social media applications, and connected TVs gaining popularity. Brands invest in advertising campaigns using visual media on desktops, mobile phones, and other devices. Video filming technology and recording equipment are essential for creating engaging digital content. Advertising types include in-banner digital ads, companion ads, and online video ads. As internet usage and digital consumer spending continue to rise, brands seek high-speed internet connections to optimize their search engine rankings and increase brand exposure and loyalty. Service delivery methodologies for broadcasters and digital video contents are evolving, with e-commerce sector integration and changing consumer behavior driving innovation. Vertical filming, videography, and brand partnerships are essential components of successful advertising campaigns.

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Market Overview

In the dynamic digital video ad market, brands and businesses employ various strategies to capture consumer attention. The use of programmatic advertising and real-time bidding in video ads is on the rise. Brands seek to deliver personalized ads through data analysis and consumer insights.

About Technavio

Technavio is a leading global technology research and advisory company. Their research and analysis focuses on emerging market trends and provides actionable insights to help businesses identify market opportunities and develop effective strategies to optimize their market positions.

With over 500 specialized analysts, Technavio's report library consists of more than 17,000 reports and counting, covering 800 technologies, spanning across 50 countries. Their client base consists of enterprises of all sizes, including more than 100 Fortune 500 companies. This growing client base relies on Technavio's comprehensive coverage, extensive research, and actionable market insights to identify opportunities in existing and potential markets and assess their competitive positions within changing market scenarios.

Contacts

Technavio Research
Jesse Maida
Media & Marketing Executive
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UK: +44 203 893 3200
Email: [email protected]
Website: www.technavio.com/

SOURCE Technavio