Smart Advertising Market Size, Share, Growth Report 2032

Industry Prospective:

The global smart advertising market size was worth around USD 512 Billion in 2022 and is predicted to grow to around USD 1871 Billion by 2030 with a compound annual growth rate (CAGR) of roughly 20.42% between 2023 and 2030.

The report analyzes the global smart advertising market drivers, restraints/challenges, and the effect they have on the demands during the projection period. In addition, the report explores emerging opportunities in the smart advertising market.

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Smart Advertising Market: Overview

The smart advertising industry refers to the use of advanced and modern systems to automate advertisement activities undertaken by firms. Some of the technologies used in the market are artificial intelligence, machine learning, big data, and real-time bidding along with several other measures of ensuring effective brand awareness. Smart advertising has opened doors for market players to target their consumer base with higher efficiency which is connected to improved performance of the campaigns.

The effectiveness of smart advertisement campaigns can be concluded from the increased return on investment (ROI) which can either be monetary or non-monetary. The industry players allow advertisers to track and measure advertisement performance in real-time giving them more time to adjust strategies for optimum results. The market includes several platforms and associated technologies. It also revolves around programmatic advertising, mobile advertising, and social media advertising.

Key Insights: 

• As per the analysis shared by our research analyst, the global smart advertising market is estimated to grow annually at a CAGR of around 20.42% over the forecast period (2023-2030)
• In terms of revenue, the global smart advertising market size was valued at around USD 512 billion in 2022 and is projected to reach USD 1871 billion, by 2030.
• The smart advertising market is projected to grow at a significant rate due to the increased demand for personalized advertisements across industrial units.
• Based on enterprise size segmentation, large-scale was predicted to show maximum market share in the year 2022
• Based on platform type segmentation, mobile was the leading type in 2022
• On the basis of region, North America was the leading revenue generator in 2022

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Smart Advertising Market: Growth Drivers

Increasing demand for personalized advertisements to propel market growth

The global smart advertising market is projected to grow owing to the increased demand for personalized advertisements across industrial units. The commercial industry is full of competing firms which is making it difficult for the players to stand out from the rest. Marketing and advertising have always played a crucial role in determining brand value and final revenue outcomes. This has led to constant evolution in the advertising sector. For instance, initially, paper-based advertising was the preferred choice amongst advertisers. With time, the method has undergone evolution with the rising incorporation of modern technologies. Smart advertising is the most recent trend and has been highly beneficial in ensuring that companies enjoy a high ROI leading to higher adoption. In addition to this, the growing use of mobile devices has encouraged companies to adopt more technologically advanced methods of advertising.

Smart Advertising Market: Restraints

Increasing concerns over privacy to restrict the market growth

The global smart advertising market is expected to face growth restrictions owing to the increasing concerns over privacy amongst consumers. With the rising use of smart advertisements to create customized advertisements, companies have been using excessive amounts of personal data, especially in targeted ads. This has led to several agencies having raised doubts over the ethical use of consumer data along with safety measures adopted by advertisers to ensure that personal customer information remains safe.

Smart Advertising Market: Opportunities

Video advertising to provide excellent growth opportunities

The video advertising segment in the smart advertising industry remains an upcoming but highly potential growth unit. As the number of people watching videos online is growing continuously, industry players are investing more resources in creating video-based ads that allow brand awareness and in return lead to higher revenue. Furthermore, voice-based marketing and advertising are expected to create higher expansion opportunities with the growing rate of voice-based search.

Smart Advertising Market: Challenges

Associated complexity to challenge market growth

Smart advertising is a complex process since it makes use of advanced tools and systems such as artificial intelligence (AI) and machine learning (ML) Although the system may be highly effective, not all companies would be comfortable with adopting such advanced tools in the system and may prefer traditional methods of marketing or advertisement. Moreover, there is a significant lack of availability of skilled talent to execute these advertisements, further impacting the global smart advertising industry growth.

Smart Advertising Market: Segmentation

The global smart advertising market is segmented based on platform type, service type, enterprise size, end-user, and region.

Based on platform type, the global market segments are laptops, desktops, & tablets, mobile, and others. In 2022, the largest shareholding segment was the mobile unit which generated more than 59.02% of the revenue amongst all platform types. Mobile marketing refers to any form of advertisement that focuses on creating awareness by leveraging the advantages of cell phones and mobile devices. It is influenced by the proven fact that cell phones have become an integral part of the everyday lives of practically everyone across the globe.

This type of smart marketing has a higher reach than any other form of digital marketing. With the use of location-based marketing which is an amalgamation of location-based services and mobile marketing, advertisers have reached a larger consumer base. \

Based on service type, the global smart advertising market segments are mobile advertising, email advertising, social media advertising, online display advertising, video advertising, and others.

Based on enterprise size, the global market is segmented into SMEs and large-scale. In 2022, the highest growth was observed in the large-scale segment which accounted for over 66.72% of the market share. This is mainly due to the availability of adequate resources, monetary and non-monetary to undertake any activity that required high investment. Furthermore, large companies tend to target a broader group of audience due to the number of items being sold or the brand value itself. This is a major reason why large corporations with resources at their disposal are willing to spend on smart advertisement. However, it should also be noted that small & medium enterprises (SMEs) can also utilize the benefits of modern-day advertisement methods.

Based on end-user, the smart advertising industry divisions are BFSI, media & entertainment, IT & Telecom, education, healthcare, and others.

Recent Developments:

• In February 2023, Google, a leading technology company, announced the launch of a new Artificial Intelligence (AI) tool that is expected to help advertisers create more targeted advertisements. The new technology works by assisting users in generating additional assets that would greatly complement the existing assets. Google has already recorded an increase of 2% in conversions for its current users
• In September 2022, Microsoft Ads, a pay-per-click(PPC) advertising system, unveiled new features in its Smart Campaigns program. The addition includes a multi-platform attribute that is likely to give the company a competitive edge over Google. The new Smart Campaign update includes a simplified ad setup assisted with an auto-generate option

Smart Advertising Market: Report Scope

Smart Advertising Market: Regional Analysis

North America to continue its dominance

The global smart advertising market is projected to witness the highest growth in North America. In 2022, the region held dominance over 36.45% of the global market share. The key growth factor is the higher tendency of the companies and businesses operating in the US and Canada to become early adopters of advanced technology which is strengthened by the presence of technology giants such as Alphabet and Meta with billions of dollars being directed toward research & development. In addition to this, the robust technological infrastructure of the US acts as an encouraging factor for the market players.

Asia-Pacific is projected to grow at a CAGR of 22.35% during the forecast period due to the presence of technology giants in China, Japan, and South Korea along with the rising application of smart technology such as digital advertising to reach more customers.

Smart Advertising Market: Competitive Analysis

The global smart advertising market is led by players like

• Google
• Facebook. Amazon
• Microsoft
• Apple
• Verizon Media
• AT&T
• Adobe
• Salesforce
• Oracle
• IBM
• PubMatic
• Magnite
• The Trade Desk
• DoubleClick (owned by Google)
• OpenX
• AppNexus (owned by AT&T)
• Verizon Digital Media Services
• MediaMath
• Sizmek
• Centro
• Rubicon Project
• Criteo
• AdRoll
• ZypMedia.

The global smart advertising market is segmented as follows:

By Platform Type

• Laptops
• Desktops, & Tablets, Mobile
• Others

By Service Type

• Mobile Advertising
• Email Advertising
• Social Media Advertising
• Online Display Advertising
• Video Advertising
• Others

By Enterprise Size

• SMEs
• Large-Scale

By End-User

• BFSI
• Media & Entertainment
• IT & Telecom
• Education
• Healthcare
• Others

By Region

• North America
  • The U.S.
  • Canada
• Europe
  • France 
  • The UK
  • Spain
  • Germany
  • Italy
  • Rest of Europe
• Asia Pacific
  • China
  • Japan
  • India
  • South Korea
  • Southeast Asia
  • Rest of Asia Pacific
• Latin America
  • Brazil
  • Mexico
  • Rest of Latin America
• Middle East & Africa
  • GCC
  • South Africa
  • Rest of Middle East & Africa