Oman Online Advertising Market Outlook to 2023: Ken Research
The report titled “Oman Online Advertising Market Outlook to 2023 – By Medium (Desktop and Mobile), By Type (Search Advertising, Social Media Advertising, Banner Advertising, Video Advertising, Online Classifieds), By Sectors (Hospitality & Tourism, FMCG, BFSI, Telecommunications, Healthcare, Automotive, Retail and others) and By Model (Cost Per Mile, Cost Per Click 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 (Hospitality & Tourism, FMCG, BFSI, Telecommunications, Healthcare, Automotive, Retail 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 Al Nahda Advertising Co LLC, Arab House Bullseye Marketing LLC, Creative Communications Advertising and Marketing LLC, Fortune Promoseven Advertising, Havas Worldwide Muscat, Oman Advertising Agency LLC, Pargon, Talks International LLC, UMS Advertising and others. The report also explores the digital customer profile in Oman, future outlook & projections along with analyst recommendation highlighting the major opportunities & cautions to the reader.
Oman Online Advertising Market Summary
Market Overview: Oman Online Advertising Market is currently placed in early growth stage. Brands and advertisers still hold higher preference for traditional modes of advertisement namely, TV, newspaper and radio. However, the market is witnessing considerable transition towards digital advertisement upon analyzing the grooming potential of smartphones and internet penetration in the country. Companies are now increasingly adapting the use of online social network as a key marketing tool. The players are focusing on tapping the large pool of the ‘forever online’ consumers to convert them into their clientele. The digital advertising landscape is developing at an astonishing pace as media proliferation and technology are together yielding newer ways of connecting with consumers. The market still lacks correct awareness and understanding regarding consumer behavior. Online advertising spent is expected to witness sound growth at a CAGR of close to 4% during the revenue period 2013-2018.
Oman Online Advertisement Market Segmentation
By Medium (Desktop and Mobile)
Mobile advertising, accounted for over 52% of the digital ad spend and will continue to dominate in 2018. The number of smart phone users in the country inclined positively registering a CAGR of 4.6% during 2013-2018. Mobile advertising is set to reach over USD 8 million by 2023. Desktop as a medium would continue to be less popular growing at a CAGR of close to 6% during 2018-2023.
By Type of Advertising (Social Media, Search, Video, Banner and Online Classified and Others): Social media advertising has been gaining popularity as the number of people using these websites is increasing considerably. This has been most dominant in 2018. Facebook along with YouTube and Google have been the highest penetrated markets. This is followed by Instagram, Twitter and LinkedIn. Banner Advertising and Online Classified would witness a fall in the relative share by 2023.
By Pricing Models (Cost per Mile (CPM), Cost per Click (CPC) & Cost per Action (CPA)
CPM model is widely preferred over other models in Oman. It is primarily used in Social Media Advertisements. Cost per Mile (CPM) denotes 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) shows the charges as per any particular action desired by the advertiser. CPC model hold the second highest share which is commonly used by publishers owing to the dominance of search advertising. The CPM and CPC models are expected to maintain higher more popularity by 2023.
By Sectors/Industries (Hospitality & Tourism, FMCG, BFSI, Telecommunications, Healthcare, Automotive, Retail and Others)
Hospitality & Tourism sector has been the largest spending sector for online advertisement in 2018 owing to increase in industry competition and nature of industries. This is followed by the FMCG & BFSI respectively so as to maintain higher visibility of products & service launched. Telecommunication and automotive held the 4th and 5th largest market respectively followed by Healthcare sector. Healthcare is coming up with innovative medical services and need to raise awareness among consumers. Retail is an emerging sector that will grow at a strong growth with rise in disposable income and surging preference towards shopping from traditional brick and mortar model.
Comparative Landscape of Major Players
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 Arab House, Bullseye Marketing LLC, UMS Advertising and Nexa
Advertising agency and others. Major platforms which dominate the online advertisement spend include Google and Facebook, followed by YouTube and Instagram in 2018.
Oman Online Advertisement Market Future Outlook and Projections
Oman Online Advertisement Market in terms of advertisement spending is expected to further expand in the forecasted period 2018-2023E at a faster rate. It is forecasted to witness a CAGR (2018-2023) of close to 7% with strong support extended from Hospitality & Tourism and BFSI sectors.