MPA’s study revealed TV advertising faced further pressure in 2020 as advertisers accelerated their transition to digital, declining 15% on an annual basis to US$43.3 billion. For mature markets such as Australia and Japan, MPA expects that dips in TV ad spend are expected to be permanent, with a return to pre-pandemic spend unlikely. The medium remains important in key markets where it retains its position as the largest ad segment as of end-2020, including India, Indonesia, the Philippines and Thailand.
Overall, the study showed TV advertising is expected to rebound in 2021, growing 4.6% year-on-year, before secular decline sets in again in 2023. MPA projects total Asia Pacific TV advertising spend to grow at a CAGR of 0.7% from 2020-2025 to reach US$44.8 billion in 2025.
TV broadcasters were also found to be growing online video ad market share through catch-up and dedicated AVOD streaming services, particularly in connected TV markets such as Australia, Japan and Korea. MPA calulate online video advertising, led by YouTube, contributed 16% to APAC digital ad revenue in 2020.
Taking into account local and regional AVOD and freemium platforms, including broadcaster-led platforms driving growth, MPA forecasts online video advertising to grow to US$33.3 billion in 2025, representing 20% of the APAC digital ad pie while topping 40% in emerging markets such as India and Indonesia.