Advertising emerged as one of the key elements of marketing strategies for any organization. Earlier, print media was the one and only medium to reach customers at large. With time, technology evolved and so the advertising market space. Advertisers now want new mediums which can provide higher levels of reach with low costs associated. This is the time when online advertising market evolved. Online advertising proved to be a better communication medium for advertisers.
As the penetration of Internet or accessibility of Internet increased for advertisers, it became easy to reach prospective customers online. There are several online advertising formats such as search engine marketing, digital video, mobile applications, and classifieds among others. These formats varied in terms of cost and reach. Search engine marketing is the oldest format, which still accounts for the largest market share. Later, advertisers started using other formats. The adoption of these other formats was primarily driven by evolution of communication technologies and smartphone adoption. The primary reason behind the adoption of online advertising was to optimize cost and increase the number of Leads generated.
Google, Facebook, LinkedIn, and Yahoo are some of the prominent players which are providing reliable advertising formats to the advertisers. Factors which are responsible for driving high growth in this market are increased Internet usage/penetration, adoption of smartphones and mobile devices, and evolution of communication technologies. MarketsandMarkets forecasts the global online advertising market to grow from $125.82 billion in 2014 to $220.38 billion by 2019. Over the next 5 years, this market is expected to experience high traction in Asia-Pacific (APAC), Latin America (LA), and the Middle East and Africa (MEA) regions.
For the market sizing and forecasting, several assumptions have been taken into consideration such as economic, regulatory, and technological. For instance, exchange rates, one of the economic factors, are expected to have a moderate rating of impact on this market. Therefore, dollar fluctuations are expected to not seriously affect the forecasts in the emerging APAC regions.
The report will help the market leaders/new entrants in this market in the following ways:
- This report will provide a comprehensive look in the global online advertising market in terms of formats. Market numbers are further split across verticals and regions.
- The report will provide insights to the vendors about positioning themselves and their competitors and will help them to understand opportunities in other industry verticals and regions.
- The report helps the vendors to understand the pulse of the market. It provides information on key market drivers, restraints, challenges, and opportunities