Market Insights Advertising & Media Advertising

TV & Video Advertising - Luxembourg

Luxembourg

Ad spending in the TV & Video Advertising market in Luxembourg is forecasted to reach US$92.48m by 2024.
The largest market is Traditional TV Advertising with a market volume of US$50.73m in 2024.
When compared globally, the United States is expected to lead in ad spending with US$143.80bn in 2024.
The average ad spending per user in the Traditional TV Advertising market is projected to be US$85.46 in 2024.
By 2029, the number of TV Viewers in Luxembourg is anticipated to reach 0.62m users.
Luxembourg's TV & Video Advertising market is thriving due to its high-income population and strategic location for multinational companies seeking to target affluent audiences.

Key regions: United States, Europe, United Kingdom, Japan, Germany

Definition:
TV & Video Advertising includes advertising in the form of moving visual images instead of traditional broadcast television and all ad formats within digital video channels. Traditional TV Advertising includes non-digital formats and excludes all forms of digital TV advertising. Traditional TV Advertising also covers all ad spending on pay-TV operators and networks, free-to-air networks, and free-to-air spin-off digital channels from terrestrial network operators. In comparison, Digital Video Advertising includes all ad formats within webpage-based videos, app-based video players, social media, or streaming apps that appear on computer screens, smartphones, tablets, and other internet-connected devices.

Structure:

Traditional TV Advertising includes all ad spending on moving image formats broadcasted via traditional transmission channels such as terrestrial and digital terrestrial (DTTV, DTT, DTTB) TV, cable TV, satellite TV, and linear TV delivered via Internet Protocol television (IPTV).
Digital Video Advertising formats are displayed as instream and outstream video ads. Instream video ads include advertising that appears before, during, or after the streamed video (pre-roll, mid-roll, and post-roll video ads) and video overlays (text- or image-based overlays that appear while watching a video). Outstream video ads include video advertising that appears in non-video environments, e.g., in-feed on social media or text-based content (so-called native advertising).

Additional information:
The TV & Video Advertising market comprises advertising spending, users, average revenue per user, and user demographic. The market only displays B2B spending and users for the market. Figures are based on advertising spending and exclude agency commissions, rebates, production costs, and taxes. Additional definitions of Traditional TV Advertising and Digital Video Advertising can be found on the respective pages. For more information on the data displayed, use the info button right next to the boxes.

Market

Region

Region comparison

Currency

Analyst Opinion

The TV & Video Advertising market in Luxembourg has been experiencing steady growth in recent years.

Customer preferences: Luxembourg, being one of the wealthiest countries in the world, has a highly developed media landscape. The population has a high disposable income and a strong appetite for high-quality content. As a result, there is a growing demand for TV and video advertising in the country.

Trends in the market: One of the key trends in the TV & Video Advertising market in Luxembourg is the shift towards digital advertising. With the increasing popularity of streaming services and online platforms, advertisers are recognizing the importance of reaching consumers through digital channels. This trend is driven by the changing media consumption habits of the population, with more people opting for on-demand content rather than traditional linear TV. Another trend in the market is the rise of programmatic advertising. Programmatic advertising allows advertisers to target specific audiences and deliver personalized messages, resulting in more effective and efficient campaigns. This trend is driven by advancements in technology and data analytics, which enable advertisers to better understand their target audience and optimize their advertising strategies.

Local special circumstances: Luxembourg's small population size presents a unique challenge and opportunity for advertisers. While the market may be relatively small compared to other countries, it is highly concentrated and affluent. This means that advertisers can reach a high proportion of the population with their campaigns, making it an attractive market for brands looking to make an impact. Additionally, the country's international business community and multicultural population create a diverse and dynamic advertising landscape.

Underlying macroeconomic factors: Luxembourg's strong economy and stable political environment contribute to the growth of the TV & Video Advertising market. The country has a favorable business climate and is home to many multinational companies. This attracts foreign investment and drives economic growth, resulting in increased advertising spending. Furthermore, Luxembourg's high standard of living and high disposable income levels make it an attractive market for advertisers. In conclusion, the TV & Video Advertising market in Luxembourg is developing in response to customer preferences for high-quality content and the increasing popularity of digital advertising. The rise of programmatic advertising and the unique characteristics of the Luxembourg market present opportunities for advertisers to reach a concentrated and affluent audience. The country's strong economy and stable political environment further support the growth of the market.

Methodology

Data coverage:

Data encompasses enterprises (B2B). Figures are based on TV and video advertising spending and exclude agency commissions, rebates, production costs, and taxes. The market covers traditional TV advertising (non-digital formats such as terrestrial TV, cable TV, satellite TV, and linear TV) and digital video advertising (video ad formats: web-based, app-based, on social media, and connected devices).

Modeling approach:

Market size is determined by a combined top-down and bottom-up approach. We use annual financial reports of the market-leading companies and industry associations, third-party reports, web traffic, and survey results from our primary research (e.g., Consumer Insights) to analyze the markets. To estimate the market size for each country individually, we use relevant key market indicators and data from country-specific industry associations, such as GDP, population, media consumption, internet users, consumer spending, and digital consumer spending.

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.