Preliminary research of Fairfield Market Research indicates a promising growth outlook for global demand side platform market during the course of next few years.
Rising Adoption of DSP for Programmatic Advertising to Drive Demand Side Platform Market Ahead
Easy management and enhanced campaign reporting are two aspects that propel the worldwide demand side platforms (DSP) market. The expanding availability of digital advertising inventories is a major element fueling the expansion of demand side platform market, which is expedcted to expand due to positive elements, including speed, smart advertising, exact targeting, and research. The market is anticipated to advance in line with rising need for programmatic advertising. DSPs can use advanced technologies like machine learning, and Artificial Intelligence to enhance and automate data-driven advertising. Therefore, the demand side platform market is anticipated to advance due to technological advancements.
Businesses seeking more intense and successful ad campaigns to strengthen their market position in demand side platform market are turning to demand-side platforms for programmatic advertising. Connected T.V. (CTV), and over-the-top (OTT) solutions have boosted ad transactions. The popularity of mobile OTT and CTV applications has significantly bolstered demand side platform market for programmatic advertising. These developments indicate that consumers' propensity to buy demand-side platforms for programmatic advertising is rising due to better chances of reaching target audiences through digital advertising.
Demand-side platforms are increasingly being used for programmatic advertising technologies due to the enormous growth in website data and applications available on the market. As users spend more time online, more adverts are available. Additionally, different users log in and out of different platforms at varying rates. Demand-side platforms increase the advertisement's effectiveness for programmatic advertising once they have analyzed this data and helped the advertiser place a bid on the spot. Lack of understanding and hidden expenses that raise your overall expenditures are the main barriers to the growth of demand side platform market. The prospects, however, lie in creating new technology and incorporating alternative forms of promotion.
Demand Side Platform Market: COVID-19 Impact
Global trade in services, commodities, and people has been severely restricted by the epidemic, which has greatly influenced individual economic activities and financial markets. The transformation to a remote working environment of the workforce presented oversight challenges. Demand-side platform lenders did, however, encounter some minor challenges in the early 2020s during the outbreak of COVID-19. However, since more people tended to rely on social media and remote online purchasing for their everyday requirements, companies finally noticed that the lockdown presented a chance to reach a larger audience. Advertisers' spending on advertising has increased for businesses. Due to the explosive growth of e-commerce, online shopping, and gaming industries, the demand side platform market experienced growth throughout the pandemic. In the US, 55% of video game users reported playing more games during the COVID-19 pandemic, according to research by the Entertainment Software Association (ESA). For marketers, this created a big opportunity.
Evolving Need for Effective Management and Optimization of Data Exchange in Media Industry to Strengthen Demand Side Platform Market
The demand for demand side platforms is growing as they help advertisers with tasks like purchasing inventory and streamlining the media buying process from many sources. As the digital economy expands significantly, the market for DSP software is expanding quickly. DSP benefits, including real-time bidding, simple management, and improved campaign reporting, make it simpler for users to choose this system. A key reason propelling the market's expansion is the growing requirement to manage and enhance data exchange accounts in the media sector through a single interface. However, the expensive cost of the software and a shortage of technical professionals will likely impede the expansion of demand side platform market throughout the period of assessment.
Growing Ad Transactions on Connected TV (CTV), and OTT Platforms to Accelerate Demand Side Platform Market Growth
New tactics like target audience reach, and gadget marketing are being used by advertisement inventories. Their strategy heavily relies on platforms like CTV, and OTT. They provide increased customer and target audience reach. The fast growth of video streaming through OTT services like Netflix, Apple TV+, and YouTube TV has put CTV display advertising in the spotlight. This remains a major growth influencer for demand side platform market. For instance, in 2020, the U.S. streaming income climbed by 41.2%. Demand side platforms help companies advertise their brands through these channels and expand their options while giving them full control over their advertising campaigns. Additionally, video is a very engaging and tailored ad format that helps marketers achieve their objectives. For instance, In May 2022, Google LLC updated the Google Marketing Platform with new functionality. 360-degree video display In order to enhance CTV advertising, the business increased the amount of CTV inventory available on the Display & Video 360 demand-side platform and added Google audiences to CTV devices.
Increasing Fraudulent Activities in Advertising Industry Challenge Demand Side Platform Market Growth
Consumers who shop online are increasingly in danger from fraudulent advertising. Millions of false adverts trick consumers into visiting unlawful e-commerce sites that sell fake goods and offer dishonest services are exposed to them. Ad fraud can take many forms, such as bogus impressions and clicks on advertisements caused by malicious bots, the stacking of ads, and false ghost sites that imitate legitimate websites to obtain ad network approval. China's digital ad fraud rate increased to 40% over the past three years, according to a 2019 China Internet Network Information Center report. A total of 30.7% of the advertising budget was spent in China, while only 2.4% of the advertising budget in the U.K. was fraudulent. Furthermore, a lot of fraudulent advertisements use social media as a platform to carry out such tricks. For instance, a report by tracit.org 2020-21 included information and use cases about dishonest practices. Fraudsters used Google's video platform YouTube to take advantage of the popularity of some famous video games to deceive users into downloading dangerous apps. In April 2019, a phony Tommy Hilfiger advertisement was found on Linkedin. Scammers also utilized COVID-19 on YouTube to make money by posting easily accessible movies promoting expensive face masks and fraudulent vaccines, costing consumers more than US$5 million.
Complete Control over Ad Buying Process and Campaign to Create Demand for Self Service DSP in Demand Side Platform Market
Self-service DSP, which gives advertisers total control over their ad campaigns, is anticipated to have the greatest CAGR during the forecast period. With the aid of their marketing team, marketers may exercise complete control over purchasing ads, choosing inventory, and managing campaigns. Advertisers can acquire high-quality impressions at scale with little to no friction using self-service demand-side platforms, which are effective marketing tools. The demand side platform market is projected to grow strong in line with this.
Ascending Social Media Consumption, and Spiraling Smartphone Adoption Create Tailwinds for Demand Side Platform Market
Due to the growing use of CTV advertising for broad customer reach, the video segment is anticipated to obtain the largest segment share. With the help of video advertising, marketers can affect awareness strategies, brand perception, and the acquisition of new clients. Further, with more people staying at home, COVID-19 has moved viewers away from linear television and onto CTV and OTT services. The need for DSPs has grown as a result. Latin America's monthly OTT subscription service customers will reach 117.2 million in 2020.
North America Spearheads Demand Side Platform Market with Remarkably High Rates of Online Grocery Shopping
Due to the rising usage of demand-side platforms for programmatic advertising, the widespread use of smartphones, the extensive use of online applications, and the population's dependence on the internet, North America is anticipated to hold a sizeable portion of the demand side platform market pie. The adoption of demand-side platforms for programmatic advertising broadens the reach of standout ad inventory while also improving ad efficacy by optimizing. Furthermore, North America is anticipated to register for the largest revenue share during the forecast period. The increased expenditure on programmatic ads is fueling the industry's expansion in the region. In 2020, programmatic technology will account for almost 85% of digital display advertising expenditure in the United States. Additionally, demand-side platform software manufacturers place great importance on incorporating new technologies. Prominent companies from various sectors are located in the area, and demand-side platform software is being widely used. Demand-side platforms are also being used by numerous well-known and small regional advertisers for brand-building and short-term performance campaigns.
Global Demand Side Platform Market: Competitive Landscape
A few of the players in the Demand Side Platform Market include Alphabet Inc. (U.S.), Amazon.com, Inc., Adobe Inc., The TradeDesk, Inc., MediaMath, Inc., Adform (Denmark), Xandr (Microsoft), SmartyAds, Gourmet Ads, and Basis Technologies (U.S.).
Recent Notable Developments
Global Demand Side Platform Market is Segmented as Below:
Key Elements Included In The Study: Global Demand Side Platform Market
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