Global AdTech Market - 2023-2030

Global AdTech Market - 2023-2030

Global AdTech Market reached US$ 512.8 billion in 2022 and is expected to reach US$ 1499.7 billion by 2030, growing with a CAGR of 14.6% during the forecast period 2023-2030.

According to the data given by, waveup, AdTech is an important backbone of the rapidly growing Internet advertising industry which is projected to reach US$ 1 trillion by 2030. The Adtech market is growing rapidly and more than double in the next 7 years. In 2022, 63% of businesses have boosted their digital marketing budget and it is growing rapidly over the forecast year.

Growing innovative solutions by major key players in AdTech helps to boost the market growth of the AdTech market. For instance, on September 20, 2022, Criteo S.A., a media company announced the launch of Commerce Max a self-service in one demand-side platform (DSP) for enterprise marketers. By using Commerce Max major companies are able to find valuable audiences on retailer’s sites.

Major key players in the Asia-Pacific launched new platform for AdTech which helps to boost regional market growth over the forecast period 2023-2030. For instance, on February 15, 2021, Flipkart launched commerce-focused self-serve custom-build demand-side platform in the market. The newly launched platform helps brands to make data-driven decisions to purchase online ad inventory. The new platform is custom-built version of the reputed MediaMath platform and offers brands of all scales to engage with customers.

Dynamics

Growing Adoption of the Smartphones and Emergence Of High-Speed Internet

The rising adoption of smartphones and the availability of high-speed internet helps to expand the reach of digital advertising. India has the highest mobile data consumption rate at 12 gigabytes per user in the world in 2021. India is adopting 25 million new smartphone users every quarter making it a flourishing ground to launch digital initiatives. India has 700 million internet users, 1.18 billion mobile connections and 600 million smartphones which are increasing 25 million in every quarter.

According to the data given by The Mobile Economy 2023, smartphone adoption will reach 87% in sub-Saharan Africa by 2030 which is up from 51% in 2022. The globally smartphone adoption is expected to reach 92% by 2030 which is growing by 76% in 2022. According to the data given by GSMA, in Sub-Saharan Africa, the number of 5G subscriptions is predicted to reach 213 million in 2030. The adoption of smartphones has increased globally due to the smartphones prices fall.

Growing Adoption of AI Converging in Adtech

AI-powered algorithms analyze vast amounts of data to create highly detailed user profiles. The enables more precise audience targeting and personalization, resulting in higher engagement and conversion rates for advertising campaigns. AI predicts user behavior and preferences, allowing advertisers to serve advertising to users at the right time and on the most suitable platform. Predictive analytics improve the efficiency of advertising spending.

AI-driven technologies, such as Dynamic Creative Optimization (DCO) automatically generate and customize ad content in real-time based on user data and behavior. The personalization enhances advertising relevance and effectiveness. AI is central to programmatic advertising, automating the buying and placement of ads in real-time auctions. The increases efficiency and precision in advertising campaigns and allows advertisers to reach their target audience effectively.

Dependency on Third-Party Cookies

Regulatory frameworks such as General Data Protection Regulation California Consumer Privacy Act (CCPA) and General Data Protection Regulation (GDPR) have introduced stringent requirements for user data protection, which make the use of third-party cookies challenging. AdTech companies need to ensure that they obtain proper user consent and this limits the volume of data collected through cookies. Third-party cookies are used for tracking user behavior across different websites and devices, which is essential for personalized advertising.

Third-party cookies slow down the website load times which negatively impacts their experience. Advertisers need to balance personalization with site performance, which can be challenging. Third-party cookies involve data sharing among multiple parties in the advertising ecosystem. The increased the concerns about data security and transparency among users.

Segment Analysis

The global AdTech market is segmented based on solution, type, enterprise size, platform end-user and region.

Growing Consumer demand for the Demand-side Platforms (DSPs)

Based on the solution ad tech market is divided into demand-side platforms (dsps), supply-side platforms (ssps), ad networks, data management platforms (DMPs) and others. The Demand-side Platforms (DSPs) segment accounted for the largest market share 33.25% in the global AdTech market. Demand-side Platforms offer advertisers a centralized and efficient platform for buying digital advertising inventory. Advertisers access multiple ad exchanges and publishers through a single interface, streamlining the ad-buying process.

The rise of programmatic advertising, which automates the buying and placement of ads in real-time auctions helps to boost demand for DSPs. Some of the major key players in the market follow merger and acquisition strategies to expand their business. For instance, on June 30, 2022, InMobi collaborated with Yahoo’s demand-side platform for direct advertiser access. The collaboration provides Software Development Kits-powered direct inventory without intermediaries and creates supply path optimization for advertisers.

Geographical Penetration

High Penetration of Digital Advertising in North America

North America accounted largest market share 33.12% in the global AdTech market due to rapid growth in e-commerce, streaming services and social media platforms. The U.S. and Canada accounted largest share of the market due to the increase in the disposable income of consumer. U.S. accounted largest market share due to the growing number of leading technology and media companies and growing their investments in advertising technology.

According to the data given by Upgrad, the AdTech market in U.S. is projected to grow US$ 29.85 billion dollars in value by 2026. AdTech startups in the region provide software, technology and services to help key players increase their reach and revenue through efficient advertising. According to the data given by Oracle, in 2021, U.S. spent more on advertising with a market size of US$ 84.2 Billion.

Competitive Landscape

The major global players in the market include Adobe, Alibaba Group Holding Limited, Amazon.com, Inc., Criteo, Facebook Incorporation, Google Incorporation, Microsoft Incorporation, SpotX, Twitter Incorporation and Verizon.

COVID-19 Impact Analysis

COVID-19 pandemic has had a significant impact on the AdTech (Advertising Technology) market. It caused a disruption in many industries and changed consumer behavior, which, in turn, affected advertising strategies and spending. At the onset of the pandemic businesses, particularly those in severely affected sectors like travel and hospitality, drastically reduced their advertising budgets. The led to a decline in AdTech revenues as demand for digital ad space decreased.

While traditional advertising channels like TV and print suffered, digital advertising proved to be more resilient. Companies shifted budgets from offline to online channels, favoring digital advertising platforms that offer flexibility and real-time adjustments. With lockdowns and social distancing measures in place, people spent more time online for work, entertainment, shopping and staying informed. Advertisers adapted by increasing their online presence.

Russia-Ukraine War Impact Analysis

Geopolitical instability and conflict lead to economic uncertainty, which impacts advertising budgets. Companies might become more cautious and reduce their advertising spending, which can affect AdTech companies' revenues. During the Russia-Ukraine War times of crisis, consumer behavior changed significantly. People spend more time online, consuming news and content related to the conflict. Advertisers need to adjust their ad campaigns and targeting to reflect these changing consumption patterns.

The conflict disrupts supply chains, affecting the availability of technology components and devices. AdTech companies that rely on hardware components or software from the region face challenges in maintaining their operations. Advertisers use geographic targeting for their campaigns. The war leads to shifting demographics or preferences in different regions, requiring AdTech platforms to adapt and fine-tune their targeting capabilities.

By Solution
• Demand-side Platforms (DSPs)
• Supply-side Platforms (SSPs)
• Ad Networks
• Data Management Platforms (DMPs)
• Others

By Type
• Programmatic Advertising
• Search Advertising
• Display Advertising
• Mobile Advertising
• Email Marketing
• Native Advertising
• Others

By Enterprise Size
• Small And Medium Enterprise (SME)
• Large Enterprise

By Platform
• Mobile
• Web
• Others

By End-User
• Media & Entertainment
• BFSI
• Education
• Retail & Consumer Goods
• IT & Telecom
• Healthcare
• Others

By Region
• North America
U.S.
Canada
Mexico
• Europe
Germany
UK
France
Italy
Russia
Rest of Europe
• South America
Brazil
Argentina
Rest of South America
• Asia-Pacific
China
India
Japan
Australia
Rest of Asia-Pacific
• Middle East and Africa

Key Developments
• On June 01, 2022, Vodafone Idea, an Indian advertising industry telecom operator launched its AdTech platform Vi Ads. The newly launched add platform provides marketers with an ROI-focused programmatic media buying platform.
• On February 24, 2021, Bharti Airtel launched a new advertising platform that connect any brand to its customers. It helps brands to curate consent-based and safe campaigns for subscribers of telco.
• On June 28, 2023, Deutsche Telekom AG orange SA, Telefónica SA and Vodafone Group Plc are worked together for the implementation of a privacy-by-design digital marketing technology platform in Europe.

Why Purchase the Report?
• To visualize the global AdTech market segmentation based on solution, type, enterprise size, platform end-user and region, as well as understand key commercial assets and players.
• Identify commercial opportunities by analyzing trends and co-development.
• Excel data sheet with numerous data points of AdTech market-level with all segments.
• PDF report consists of a comprehensive analysis after exhaustive qualitative interviews and an in-depth study.
• Product mapping available as excel consisting of key products of all the major players.

The global AdTech market report would provide approximately 77 tables, 86 figures and 210 Pages.

Target Audience 2023
• Manufacturers/ Buyers
• Industry Investors/Investment Bankers
• Research Professionals
• Emerging Companies