South East Asia Advertising Industry Overview
|Study Period:||2018 - 2028|
*Disclaimer: Major Players sorted in no particular order
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South East Asia Advertising Market Analysis
The South East Asia Advertising Market is expected to witness a CAGR of 15.3% during the forecast period 2022 - 2027. The COVID-19 pandemic may have reduced ad spending in the short term, but it would make companies look into unexplored areas of ads and marketing in the future. Even during the lockdown, many organizations tried to reach their audience using online ads and marketing tools. The post-Covid-19 consumer is indoors and available online, making the paradigm shift in marketing strategy a must for small and big businesses. Moreover, in 2020, the industry witnessed a massive uptake in the utilization of DOOH during the onset of the pandemic, exacerbating the requirement for publishers to improve their digital transformation strategies and look for new and creative approaches to maintain ad spending during uncertain times.
- With the increasing complexity of online advertising and the premium pricing charged for ad blockers, marketing and advertising companies are looking for alternative solutions that may enable them to display their advertisements or messages. This presents the DOOH market with a lucrative opportunity, which may boost its adoption over the forecast period.
- Southeast Asia represents some of the most significant growth regions for advertising. Out-of-home advertising (OOH) has weathered the digital revolution better than other legacy media formats. Therefore, it is one of the few traditional media segments to increase advertising revenue consistently.
- The Southeast Asian region is also faring well considering Digital Out of Home (DOOH) advertising. For instance, the Philippines is expected to see some of the highest digital growth over the next five years, stimulated by the attention of global ad-tech firms, such as Rubicon Project and Dataxu, both of which have made deals with DOOH provider, Aircast, to provide programmatic trading of inventory.
- Further, Programmatic digital OOH is in the infancy stage in Southeast Asia. Vendors are still trying to figure out the complexity of making their inventory available programmatically. Domestic market regulations are a major factor in the penetration of DOOH in Southeast Asia.
- For instance, Singapore has very strict regulations for the OOH market in content and location. There is very limited availability of billboards, while advertisers must ensure their content complies with the shared values of Singapore’s society and are not denigrating competitors. Furthermore, in Malaysia, all OOH creative contents must be submitted for pre-approval to authorities to ensure they comply with guidelines.
South East Asia Advertising Industry Segments
The study focuses on the current market dynamics in the Southeast Asia advertising industry. The key metrics captured in the study include advertising spending, the share of advertising spending per medium, the OOH market and DOOH market dynamics, and forecasts. The impact of COVID-19 on the DOOH industry is also analyzed in the study for market estimation and future projections. Further, the disruption factors impacting the market's growth in the near future have been covered in the study regarding drivers and restraints.
South East Asia Advertising Market Trends
This section covers the major market trends shaping the South East Asia Advertising Market according to our research experts:
Transit Application is Expected to Hold the Highest Market Share
- The increasing demand for digital content and information relevant to travelers has led to interactive ads through different modes of advertisements, such as Kiosks, billboards, and Signboards, at the platform that accounts for a significant share of growth in transportation media revenues in the region.
- Due to this, there has been a shift in consumer behavior in terms of customer engagement across all modes of transportation, strategically building their brands in the customer mindset. This is expected to drive potential customers against the traditional media over the coming years.
- Among various transit environments, airports have proven themselves to be an ideal environment for advertising, particularly for top-tier and luxury brands. Airports are under pressure to figure out ways to generate more revenue. Converting static displays, like posters to digital displays, allow airports to utilize the same space to sell to multiple advertisers instead of just one. That multiplies the amount of revenue exponentially. Additionally, airports can share the cost burden of upgrading to new advertising technologies by bringing in advertising partners.
- Further, during the pandemic, TRANSIT advertising operator VGI Airports announced that it is expected to complete its RM35 million Kuala Lumpur International Airport (KLIA) digital media advertising display system by the mid of 2020. These initiatives and developments further boost the studied market.
- Moreover, the initial setup cost of the digital screen is much higher than that of print signage, which is likely to pose a challenge for this segment in the market in the future.
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Malaysia is Expected to Account for the Largest Market Share
- As Malaysia started to loosen pandemic restrictions, marketers are increasingly required to be agile and flexible to maximize their performance from OOH and DOOH spending. Malaysia introduced the Conditional Movement Control Order (CMCO) in 2020 to control the spread of COVID-19. The order prohibited various activities, including inter-state travel and mass gatherings. This move severely affected Malaysia’s advertising industry. It resulted in shifting the focus of most brands’ marketing on personal and at-home devices, where people spend more time.
- However, some companies in the country planned to get more out of this situation. For instance, Lalamove, a Malaysian on-demand delivery platform, assessed that the CMCO period was a good opportunity to start investing in OOH and DOOH media. The company was able to take advantage of cut-price rates on both OOH and DOOH sites.
- Digital outdoor advertising is undergoing significant transformation across the country, with spending expected to grow over the forecast period. The growth is majorly driven by a dense distribution of digital screens, a developed infrastructure, and connected technologies, which facilitate new opportunities for brands.
- The Malaysia Advertisers Association recognizes that OOH and DOOH are increasingly popular mediums for advertisers. However, there were a large number of technology providers with various reliable technologies with different measuring currencies, which became a challenge in measurement.
- Therefore, the Malaysia Advertisers Association made an agreement with the Media Specialists Association (MSA) to form a joint industry committee together with the Outdoor Advertising Association of Malaysia (OAAM) to solve this problem. The formation of the Joint Industry Committee (JIC) and standardizing of a single currency are expected to simplify the planning process by introducing simple measurements that media owners commonly utilize. The JIC is working on the framework to select a single measurement metric that multiple technology providers can offer.
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South East Asia Advertising Market Competitor Analysis
The South East Asia Advertising Market is competitive, fragmented, and consists of many global and regional players. These players account for a considerable market share and focus on expanding their client base worldwide. These players focus on R&D activities, strategic alliances, and other organic and inorganic growth strategies to stay in the market landscape over the forecast period.
- October 2021 - MiQ announced the launch of its new suite of creative programmatic solutions, delivering innovative multi-screen campaign assets for the South-East Asian market. Based in Singapore, the creative studio will offer free creative services alongside MiQ’s brand and performance programmatic activation, enabling advertisers to tap into a full creative suite, adding value to their campaign spend.
- April 2021 - JCDecaux Singapore expanded its programmatic inventory to include its premium retail malls – Raffles City, ION Orchard, and Jewel Changi Airport – offering over 100 million monthly impressions across its entire network.
South East Asia Advertising Market Top Players
JCDecaux Singapore Pte Ltd
Clear Channel Singapore Pte Ltd
OOH Media (Mediacorp Pte Ltd)
XCO Media (SMRT Experience Pte Ltd)
Moove Media Pte Ltd
*Disclaimer: Major Players sorted in no particular order
South East Asia Advertising Market Recent Developments
- November 2021 - Mactac, a European leader in Graphic Solutions with over 50 years of experience, launched the new Mactac JT 8200 series of digital print films for short-term promotional applications, including point of sales, window graphics, exhibitions, and advertising in Indonesia, Malaysia, the Philippines, Singapore, Thailand, and Vietnam.
- March 2021 - Malaysian on-demand delivery platform, Lalamove started investing in out-of-home and digital out-of-home media during the lockdown in the country. Being a delivery tech company, the company had a significant amount of geodata pointing to areas where they may expand their delivery service.
South East Asia Advertising Market Report - Table of Contents
1.1 Study Assumptions and Market Definition
1.2 Scope of the Study
2. RESEARCH METHODOLOGY
3. EXECUTIVE SUMMARY
4. MARKET DYNAMICS
4.1 Market Overview
4.2 Industry Attractiveness - Porter's Five Forces Analysis
4.2.1 Bargaining Power of Buyers
4.2.2 Bargaining Power of Suppliers
4.2.3 Threat of New Entrants
4.2.4 Threat of Substitute Products
4.2.5 Intensity of Competitive Rivalry
4.3 Industry Ecosystem Analysis
4.4 Key Global Cues Expected to Find Their Way into the SEA Advertising Market
4.5 Impact of COVID-19 on the Advertising and DOOH Market
4.5.1 Impact on the Advertising Spend
4.5.2 Switching from Traditional Medium to Digital Medium due to Higher Engagement on Major Channels
4.5.3 Regional and Country-specific Factors Expected to have an Influence on the Growth Trajectory
5. MARKET DYNAMICS
5.1 Market Drivers
5.1.1 Increase in Public Transit Infrastructure
5.1.2 Increasing Adoption of Digital Screens
5.2 Market Challenges
5.2.1 High Installation and Maintenance Costs
6. SEA ADVERTISING MARKET LANDSCAPE
6.1.1 Malaysia Advertising Spend (2016-2027)
6.1.2 Advertising Spend - Breakdown by Medium
22.214.171.124 Others (Cinema, etc)
6.1.3 Malaysia OOH Market Estimates in USD million, 2016-2027
6.1.4 Malaysia DOOH Market Estimates in USD million, 2016-2027
6.1.5 Malaysia DOOH Segmentation by Application
126.96.36.199 Street Furniture
188.8.131.52 Other Applications
6.2.1 Indonesia Advertising Spend (2016-2027)
6.2.2 Advertising Spend - Breakdown by Medium
184.108.40.206 Others (Cinema, etc)
6.2.3 Indonesia OOH Market Estimates in USD million, 2016-2027
6.2.4 Indonesia DOOH Market Estimates in USD million, 2016-2027
6.2.5 Indonesia DOOH Segmentation by Application
220.127.116.11 Street Furniture
18.104.22.168 Other Applications
6.3.1 Thailand Advertising Spend (2016-2027)
6.3.2 Advertising Spend - Breakdown by Medium
22.214.171.124 Others (Cinema, etc)
6.3.3 Thailand OOH Market Estimates in USD million, 2016-2027
6.3.4 Thailand DOOH Market Estimates in USD million, 2016-2027
6.3.5 Thailand DOOH Segmentation by Application
126.96.36.199 Street Furniture
188.8.131.52 Other Applications
6.4.1 Vietnam Advertising Spend (2016-2027)
6.4.2 Advertising Spend - Breakdown by Medium
184.108.40.206 Others (Cinema, etc)
6.4.3 Vietnam OOH Market Estimates in USD million, 2016-2027
6.4.4 Vietnam DOOH Market Estimates in USD million, 2016-2027
6.4.5 Vietnam DOOH Segmentation by Application
220.127.116.11 Street Furniture
18.104.22.168 Other Applications
6.5.1 Philippines Advertising Spend (2016-2027)
6.5.2 Advertising Spend - Breakdown by Medium
22.214.171.124 Others (Cinema, etc)
6.5.3 Philippines OOH Market Estimates in USD million, 2016-2027
6.5.4 Philippines DOOH Market Estimates in USD million, 2016-2027
6.5.5 Philippines DOOH Segmentation by Application
126.96.36.199 Street Furniture
188.8.131.52 Other Applications
7. COMPETITIVE LANDSCAPE
*List Not Exhaustive
7.1 Company Profiles
7.1.1 JCDecaux Singapore Pte Ltd
7.1.2 Clear Channel Singapore Pte Ltd
7.1.3 OOH Media(MediacorpPte Ltd)
7.1.4 XCO Media (SMRT Experience Pte Ltd)
7.1.5 Moove Media Pte Ltd
7.1.6 SPHMBO (Singapore Press Holding Ltd)
7.1.7 Cornerstone Financial Holding Ltd
7.1.8 Golden Village
7.1.9 Mediatech Services Pte Ltd
7.1.10 ActMedia Singapore Pte Ltd
7.1.11 Spectrum Outdoor SdnBhd
7.1.12 TAC Media SdbBhd
7.1.13 Moving Walls
8. INVESTMENT OUTLOOK
9. MARKET OUTLOOK
South East Asia Advertising Market Research FAQs
What is the study period of this market?
The South East Asia Advertising Market is studied from 2018 - 2028.
What is the growth rate of South East Asia Advertising Market?
The South East Asia Advertising Market is growing at a CAGR of 15.3% over the next 5 years.
Who are the key players in South East Asia Advertising Market?
JCDecaux Singapore Pte Ltd, Clear Channel Singapore Pte Ltd, OOH Media (Mediacorp Pte Ltd), XCO Media (SMRT Experience Pte Ltd), Moove Media Pte Ltd are the major companies operating in South East Asia Advertising Market.
South East Asia Advertising Industry Reports
In-depth industry statistics and market share insights of the South East Asia Advertising sector for 2020, 2021, and 2022. The South East Asia Advertising research report provides a comprehensive outlook of the market size and an industry growth forecast for 2023 to 2028. Available to download is a free sample file of the South East Asia Advertising report PDF.