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The pandemic spurred digital ad growth across the Southeast Asia

People in Southeast Asia are spending more time online. As a result, digital ad spending in the region will grow by 11.3% to $4.10 billion in 2022, following a phenomenal 17.8% growth rate in 2021.

This year’s growth will stem from a firmer economic footing and greater confidence in digital media to generate returns. That said, digital will account for only 32.9% of total ad outlays, though that figure will continue to climb for the rest of our forecast period.

Mobile devices are vital to consumers in Southeast Asia, and key for advertisers trying to reach this audience. Our forecast reflects the dominance of these devices, with mobile’s ad spending growth of 14.0% outpacing that of digital this year.

2022 will bring more economic and ad spending certainty. Vaccination rates in Southeast Asia picked up significantly by the end of 2021. We believe this will unleash pent-up commercial activity and reopen borders to international tourism, a vital sector to many regional economies. Even with the arrival of the omicron variant, travel is unlikely to revert to last year’s depressed state.

Based on these factors and more, we have adjusted our ad spending forecast accordingly: reducing last year’s annual growth rate and increasing this year’s.