Singapore Online Advertising Market Outlook to 2023

The report titled "Singapore Online Advertising Market Outlook to 2023 - By Type Medium (Desktop, Mobile), By Type (Search Ads, Social Media Ads, Video Ads, Banner Ads, Online Classifieds and others), By Sectors (FMCG, Entertainment & Media, BFSI, Automotive, Retail, Healthcare and others) and By Models (Cost Per Click, Cost Per Mile and Cost Per Action)" covers online advertising spent along with market segmentation by medium of advertising (desktop and mobile), by type of advertising (search advertising, social advertising, video advertising, banner advertising, online classifieds and others), by sectors (FMCG, entertainment & media, banking, automotive, retail, healthcare and others), by models (cost per mile, cost per click and cost per action).
The report also covers growth drivers and trends; issues and challenges; customer pain points and decision making parameters and competitive landscape of players in the market with special focus on Carbon Interactive, Happy Marketer, First Page Pte ltd, Hashmeta Pte ltd, Media One, Clickr Media, One9ninety Pte Ltd, Construct Digital, Disruptive Digital and others.
The report also explores the digital customer profile in Singapore, future outlook & projections along with analyst recommendation highlighting the major opportunities & cautions to the reader.

Singapore Online Advertising Market Summary: Market Overview Singapore Online Advertising Market is at the growth stage witnessing intense competition amongst advertising agencies. Rapid increase in the usage of social media, robust digital infrastructure and high smartphone penetration has propelled momentum to advertising spent. Number of internet users has increased considerably during the review period. The entertainment industry revenue in Singapore has increased at a CAGR of 3.5% during 2013-2018. Addition of new platforms and services such as Whatsapp advertising, Skype advertising, link building, mobile app development and others have complimented the target audience in terms of availability of wide range of services. Online advertising spent is expected to witness sound growth at a CAGR of around 18.6% during the revenue period 2013-2018.

Market Segmentation

By Medium (Desktop and Mobile): Mobile advertising, accounted for over 44% of the digital ad spend and will continue to dominate, along with wired paid search. Mobile advertising is set to reach over USD 260 million by 2023 while paid search revenue is forecast to come to over USD 250 million.

By Types of Advertising (Banner, Video, Search, Social Media and Online Classified & Others Advertising): Search ads have highest market share due to increased traffic volume to search engines for the various activities. In search engines, Google accounted for the maximum user penetration followed by Facebook, Instagram and YouTube. Social media advertising ranks second with the rise in number of users and time spent. Video advertising has gradually increased in the last five years whereas banner and online classified advertising have witnessed minor decline in terms of relative share.

By Sectors/Industries (FMCG, Healthcare, Entertainment & Media, Automotive, BFSI and Others): FMCG spends the largest on digital advertisement for its product and services owing to intense industry competition and low switching cost for the products. This is followed by the Entertainment & Media sector which has larger share in online advertisement expenditure in the country to maintain higher visibility of digital games and online music. Healthcare sector is coming up with innovative medical services and need to raise awareness among consumers. E-commerce is an emerging sector that will grow at a robust growth with rise in disposable income and surging preference towards online shopping from traditional brick and mortar model. Automotive and Banking services contributed a considerable market share in the online advertising expenditure in Singapore.

By Pricing Models (Cost per Mile (CPM), Cost per Click (CPC) & Cost per Action (CPA): Cost per Mile (CPM) means the cost charged per thousand clicks. Cost per Clicks (CPC) is the charges by the publisher according to the number of clicks received by any advertisement. Cost per Action (CPA) means the charges as per any particular action desired by the advertiser. The CPC model is commonly used by publishers in Singapore due to the dominance of search advertising in Singapore. The CPM and CPA models are expected to gain more popularity with CPC model. Social media ads & video ads are steadily growing in Singapore and new players are entering the market preferring CPM being the cheapest model & CPA being highly result driven.

Competitive Landscape: Online advertising market is fragmented for advertising agencies while it is highly concentrated for platforms on the basis of ad spent in 2018. Companies are competing on their marketing strategies, analytics used, network platforms and sectoral clientele. Some of the major advertising agencies operating within this segment include Carbon Interactive, Hashmeta, Happy Marketer, Media One, Clickr Media, First Page and others. Major platforms which dominate the online advertisement spend include Google and Facebook, followed by Instagram and other platforms.

Singapore Online Advertising Market Future Outlook: Singapore online advertising market will witness a slower growth from the period 2018 to 2023E as the market becomes more saturated. It is forecasted to witness a CAGR (2018-2023) of close to 11% due to the dominance of traditional offline advertising in Singapore. Generally, the realization of profits or ROI period in the business is comparatively long which leads to dissatisfaction among the advertising agencies.

Key Topics Covered in the Report

• Executive Summary
• Research Methodology
• Singapore Online Advertising Market
• Singapore Online Advertising Market Segmentation
• SWOT Analysis of Singapore Online Advertising Market
• Trends and Development in Singapore Online Advertising Market
• Issues and Challenges in Singapore Online Advertising
• Regulatory Scenario of Singapore Online Advertising Market
• Competitive Scenario in Singapore Online Advertising Market
• Company Profiles of Singapore Online Advertising Market
• Singapore Online Advertising Market Future Outlook and Projections, 2018-2023E
• Analyst Recommendation in Singapore Online Advertising Market