What Are The Major Challenges In The Singapore Online Advertising Market?
The Advertising Standards Authority of Singapore administered all the advertisements published in Singapore and ensures that the advertisements meet the ethical code and conduct mentioned by authority is posing one of the biggest challenges in this market. The non-compliance leads to the prohibition over the ad publication. The major challenge for the advertising industry has been client retention. Due to the availability of a large number of advertising agencies in Singapore, it is difficult for the agencies to retain their clients due to stiff competition. The agencies compete in terms of charges or rates, unique services such as brand reputation management, web design, and app marketing and others. The agencies need to bring creative ideas and customized service in order to increase the client retention rate in the market. High expectations of the advertising agencies in terms of ROI in a short period of time create another hindrance in Singapore online advertising market. Generally, the advertising industry takes longer to pay back the investment or generates ROI. But it has been observed the advertising agencies in Singapore are keen to generate ROI in short span which ultimately leads to the dissatisfaction among the agencies. Limited talent and expertise of advertising agencies is a big challenge in the market. Singapore advertising market is dominated by traditional mediums such as T.V., newspapers, radio, and others.
Competitive Landscape In Singapore Online Advertising Market
The overall competition stage of the industry has been a ~ in terms of advertising spent and market share of major platforms with the presence of a large number of small agencies and platforms in 2018. Few of the major advertising agencies include Carbon Interactive, Active Media, Media One, Hashmeta Pte ltd, Clickr Media, First Page Pte ltd, Happy Marketer and many others. The major parameters on the basis of which the advertising agencies in the market compete with each other are the revenue generated, the number of full-time employees, and the number of active clients, client retention rate and the major clients along with pricing. These have helped the major advertising agencies to assemble higher market share during the review period. The online advertising platforms are competing with each other on the parameters such as market share, users, time spent on the platform, gender profile users, brands or clients, age group and others.
What Is The Future Of Online Advertising Industry In Singapore?
The Singapore online advertising spent has been anticipated to grow registering a moderate growth during the period 2019 to 2023E with a CAGR of close to ~% in terms of advertising spend. This advertising spend will be supported by the increasing number of internet users which is expected to grow with a CAGR of close to ~% during 2018 to 2023E. Growth during this period is expected to be supported by the rising number of smartphone users, increasing usage of social media networks, well developed digital infrastructure, diversifying services portfolio and others. Increase in literacy rate would supplement growth in the market. Due to the expansion of the already existing advertising agencies and the establishment of many other agencies, the penetration percent of online advertising will increase in the future. Many new services and new technologies are expected to be launched in the forecast period having a positive impact on demand for online ads. The increasing number of international brands in Singapore would have a combined effect and increase the number of online ads during the forecast period. The future share of the medium of online advertising such as desktop and mobile in the Singapore online advertising market is expected to change in favor of mobile by 2023. The scenario is improving for mobile ads because of the increasing usage of smartphones and the low cost incurred in mobile advertising.
With the increase in the time spent on the internet, higher awareness among the people due to high literacy and an increasing number of social media users, the penetration rate of the brands into online advertising market is expected to increase in the future. Due to this, there would be an increase in the conversion rate, which is anticipated to grow at a CAGR of ~% from 2018 to 2023. The penetration of internet users is expected to rise by ~% in 2023. This rise in the internet users is due to the establishment of robust digital infrastructure that enables for fast downloading and high-speed broadband networking in Singapore. In addition, an increase in the number of players in different sectors in Singapore will encourage brands to go for digital advertising in order to cope with the competition.
Key Segments Covered:-
By Online Advertising Medium by Online Ad Spend
By Types of Online Advertising by Online Ad Spend
Social Media Advertising
Online Classified & Others
By Different Sector/Industries by Online Ad Spend
Entertainment & Media
By Pricing Models by Online Ad Spend
Cost per Click (CPC)
Cost per Mile (CPM)
Cost per Action (CPA)
Time Period Captured in the Report:-
Historical Period: 2013-2018
Forecast Period: 2019-2023
Key Target Audience
Social Networking Platforms
End-User Industries Investing in Online Advertising
Advertising Agencies Covered:-
Hashmeta Pte. Ltd
Advertising Platforms Covered:-
Advertising Market in Singapore
Singapore Digital Advertising Industry
Singapore Digital Advertising Market
Singapore Mobile Advertising Market
Singapore Online Advertisement Spending
Major Singapore Advertising Agencies Revenue
Singapore Online Advertising Market Spend
Online Video Advertising Spend Singapore
Singapore Digital Ad Spending Market
Singapore Digital Advertising Stats Market
Singapore Digital Display Ad Spend Market
Programmatic Advertising Platforms Singapore
Singapore Digital Ad Spend Market
Advertising Industry in Singapore
Advertising Industry Singapore
Advertising Market Singapore
Major Singapore Advertising Agencies Revenue
Singapore Social Media Advertising Market
For More Information, Refer To Below Link:-
Vietnam Online Advertising Market Outlook to 2023 – By Medium (Desktop and Mobile), By Type (Banner, Video, Search, Social Media and Online Classifieds & Others Digital Advertising), By Sectors/Industries (FMCG, Healthcare, Entertainment & Media, Retail & E-Commerce, Automotive, BFSI and Others)
Ankur Gupta, Head Marketing & Communications