AdTech Market Expected to Reach $2854.3 Billion by 2031—Allied Market Research

According to a new report published by Allied Market Research, titled, “AdTech Market," The adtech market was valued at $748.20 billion in 2021, and is estimated to reach $2854.3 billion by 2031, growing at a CAGR of 14.7% from 2022 to 2031.

Widespread adoption of smartphones and emergence of high speed internet and proliferation of social media majorly contribute toward the growth of the market. However, rising adoption of ad-blockers to avoid online advertising may hamper the growth of the adtech market. Furthermore, the rise in need of multinational companies to become more reachable, searchable, and visible across the advertising platform propels the growth of the advertising technology market during the forecast period. Moreover, increasing digitalization and rising adoption of advanced technologies such as AR/VR, connected TV, and robotics are expected to provide lucrative opportunities for the market growth during the forecast period. Furthermore, vendors operating in the market offer advanced adtech solutions to improve the marketing strategies of enterprises, owing to the intense competition. In addition, companies heavily invest in R&D activities to develop effective internet advertising technology and service, which is opportunistic for the advertising technology market growth.

On the basis of solution, the global adtech market size was dominated by the demand-side platforms (DSPs) segment in 2021 and is expected to maintain its dominance in the upcoming years. As DSP technology help to utilize the ad money in a very efficient way, so businesses don’t waste the money on ad space that won’t induce results. Furthermore, demand-side platforms are an evolution of ad networks, which have been incorporating capabilities like real-time bidding into their offering as well. Thus, these factors are expected to provide numerous opportunities for market growth in the upcoming years. However, the data management platforms (DMPs) segment is expected to witness the highest growth during in the upcoming years. With effective data management solution, people across an organization can find and access trusted data for their queries. In addition, it can increase the visibility of the organization’s data assets, making it easier for people to quickly and confidently find the right data for their analysis.

Region-wise, North America dominated the market share in 2021 for the adtech market. Adoption of adtech solution growing steadily to meet increasing demands from today’s businesses to enhance their business process and improve the customer experience. In addition, surge in investments by the market players to improve the response time and the flourishing advertising industry is driving the market demand for adtech industry in the North America region. However, Asia-Pacific is expected to exhibit the highest growth during the forecast period. Surge in digitalization toward business operation, is projected to provide lucrative growth opportunities for the adtech market in Asia-Pacific region.

The COVID-19 does not have a major negative impact on the growth of the market, it is expected to surely provide numerous opportunities for the market to grow over the forecast period. These opportunities include upsurge in use of social media due to lockdown, increase in influencers, rapid growth in over-the-top (OTT) services, and growth in voice searches. In addition, various industries, including auto, furniture, real estate, healthcare, non-profits, retail, and entertainment have reported growth in annual marketing and advertising budget, which is expected to be opportunistic for the adtech market growth in the coming years.

Furthermore, more consumers across the globe are shopping online than pre-COVID-19. The COVID-19 pandemic has prompted older consumers to try purchasing online and experience the convenience of home delivery for groceries, marking the step toward a change in channel preferences. This trend of online shopping is expected to provide lucrative opportunities for the market growth during the forecast period. For instance, in June 2022, Oracle Advertising and Azerion expanded its partnership to offer enhanced adtech protection. Implementing Oracle Advertising bot filtration helps support Azerion in its objective to bring clean supply to marketers, through its proprietary SSP. Such enhnacement is expected to provide lucrative opportunities for the adtech market forecast

KEY FINDINGS OF THE STUDY

• By solution, the demand-side platforms (DSPs) segment accounted for the largest adtech market share in 2021.
• By advertising type, the search advertising segment accounted for the largest adtech market share in 2021.
• On the basis of enterprise size, the large enterprise segment accounted for the largest adtech market share in 2021.
• By platform, the mobile segment accounted for the largest adtech market share in 2021.
• Depending on industry vertical, the retail and consumer goods sector accounted for the largest adtech market share in 2021.
• Region wise, North America generated highest revenue in 2021.

The key players that operate in the adtech market analysis are Adobe Inc., Alibaba Group Holding Limited, Amazon.com, Inc., Oracle Corporation, Google LLC, InMobi, Meta Platforms, Inc., Microsoft Corporation, Twitter, Inc., and Verizon Communications Inc. These players have adopted various strategies to increase their market penetration and strengthen their position in the adtech industry.