Market Insights Advertising & Media Advertising

Influencer Advertising - Israel

Israel

Ad spending in the Influencer Advertising market in Israel is forecasted to reach US$69.57m by 2024.
The projected annual growth rate (CAGR 2024-2029) of ad spending is expected to be 10.82%, leading to a market volume of US$116.30m by 2029.
The average ad spending per internet user in the Influencer Advertising market in Israel is estimated to be US$7.86 in 2024.
When compared globally, China is anticipated to generate the highest ad spending with US$19,160.00m in 2024.
In Israel, Influencer Advertising is rapidly growing as brands leverage social media personalities to reach targeted audiences effectively.

Key regions: France, China, United Kingdom, United States, India

Market

Region

Region comparison

Currency

Analyst Opinion

The Influencer Advertising market in Israel has been experiencing significant growth in recent years.

Customer preferences: Israeli consumers have shown a strong preference for influencer advertising, as they are increasingly turning to social media platforms for product recommendations and brand information. Influencers have become trusted sources of information, and their endorsements carry significant weight among their followers. Additionally, Israeli consumers are known for their tech-savviness and high social media usage, making influencer advertising an effective way for brands to reach their target audience.

Trends in the market: One of the key trends in the Israeli Influencer Advertising market is the rise of micro-influencers. These are individuals with a smaller but highly engaged following, typically in niche areas such as fitness, beauty, or food. Brands are increasingly partnering with micro-influencers to promote their products, as they offer a more targeted and authentic reach. This trend is driven by the desire for more personalized and relatable content, as well as the need for cost-effective advertising solutions. Another trend in the market is the growing use of video content. Israeli influencers are leveraging platforms like YouTube and TikTok to create engaging and entertaining videos that showcase products and brands. Video content has proven to be highly effective in capturing the attention of consumers and driving engagement. Brands are recognizing the power of video and are investing in influencer partnerships that incorporate video content into their marketing strategies.

Local special circumstances: Israel has a highly developed startup ecosystem and is known as the "Startup Nation. " This entrepreneurial spirit has spilled over into the influencer marketing space, with many Israeli influencers building their own personal brands and businesses. These influencers often have a strong understanding of marketing and branding, and they are able to offer unique insights and strategies to brands looking to partner with them. This local expertise has contributed to the growth and sophistication of the Influencer Advertising market in Israel.

Underlying macroeconomic factors: Israel has a strong economy characterized by high levels of innovation and technological advancement. This has created a favorable environment for the growth of the Influencer Advertising market, as brands have the resources and willingness to invest in new and emerging marketing strategies. Additionally, Israel has a young and digitally connected population, which further fuels the demand for influencer advertising. The country's robust infrastructure and access to high-speed internet also support the growth of the market. In conclusion, the Influencer Advertising market in Israel is thriving due to customer preferences for social media endorsements, the rise of micro-influencers, the use of video content, the local entrepreneurial spirit, and the country's strong economy and digital infrastructure. These factors have created a fertile ground for brands and influencers to collaborate and reach a highly engaged audience.

Methodology

Data coverage:

Data encompasses enterprises (B2B). Figures are based on influencer advertising spending and exclude agency commissions, rebates, production costs, and taxes. The market covers advertising fees paid directly to influencers to post sponsored content.

Modeling approach:

Market size is determined by a combined top-down and bottom-up approach. We use market data from independent databases, influencer marketing platforms, and third-party reports to analyze and estimate global influencer advertising spending. We start by researching on the average cost per content post on each social media platform, the number of influencers available on advertising platforms (breakdown by tier: nano, micro, macro, and mega), and the average number of posts per year. Then we estimate the market size for each country individually. We use relevant key market indicators and data from country-specific industry associations, such as GDP, social media users, and digital consumer spending. Lastly, we benchmark key countries or regions (global, United States, China, etc.) with external sources.

Forecasts:

We use a variety of forecasting techniques, depending on the behavior of the market. For instance, the S-curve function is well suited to forecast digital products due to the non-linear growth of technology adoption, whereas exponential trend smoothing (ETS) is more suited for projecting steady growth in traditional advertising markets.

Additional notes:

Data is modeled using current exchange rates. The impacts of the COVID-19 pandemic and the Russia-Ukraine war are considered at a country-specific level. The market is updated twice per year in case market dynamics change.