Market Insights Advertising & Media Advertising

TV & Video Advertising - North America

North America

Ad spending in the TV & Video Advertising market in North America is forecasted to reach US$154.20bn in 2024.
The largest market is Digital Video Advertising, with a market volume of US$90.29bn in 2024.
When compared globally, the United States will generate the most ad spending, reaching US$143.80bn in 2024.
The average ad spending per user in the Digital Video Advertising market is projected to be US$195.40 in 2024.
By 2029, the number of TV Viewers in North America is expected to reach 0.42bn users.
In the United States, the shift towards programmatic buying is revolutionizing the TV & Video Advertising market, enhancing targeting and efficiency.

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 North America is experiencing significant growth due to changing customer preferences and trends in the market.

Customer preferences: Customers in North America are increasingly turning to digital platforms for their entertainment needs. With the rise of streaming services and online video platforms, traditional TV viewership is declining. This shift in customer preferences has led advertisers to invest more in digital advertising formats, such as video ads on streaming platforms and social media.

Trends in the market: One of the key trends in the TV & Video Advertising market in North America is the increasing adoption of programmatic advertising. Programmatic advertising allows advertisers to target specific audiences and optimize their ad campaigns in real-time. This trend is driven by the availability of data and advanced analytics, which enable advertisers to deliver personalized and relevant ads to consumers. Another trend in the market is the growth of connected TV advertising. Connected TVs, which include smart TVs and streaming devices, are becoming more popular among consumers. Advertisers are leveraging this trend by placing targeted ads on streaming services and apps that are accessible through connected TVs. This allows them to reach a wider audience and engage with viewers in a more interactive way.

Local special circumstances: In North America, the TV & Video Advertising market is highly competitive. The region is home to several major media companies and advertising agencies, which are constantly innovating and investing in new technologies. This competitive landscape drives the development of new advertising formats and strategies, as companies strive to differentiate themselves and capture the attention of consumers.

Underlying macroeconomic factors: The strong economy in North America is also contributing to the growth of the TV & Video Advertising market. As consumer spending power increases, advertisers have more resources to invest in advertising campaigns. Additionally, the region has a large population and a high rate of internet penetration, providing a vast audience for advertisers to target. These factors create a favorable environment for the TV & Video Advertising market to thrive in North America.

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.