Thailand’s digital ad spend to surpass 30 billion baht in 2024
Digital ad spending in Thailand is set to exceed 30 billion baht (US$890 million) this year, reflecting the country’s growing embrace of digital platforms.
According to the Thailand Digital Ad Spending Report for mid-year 2024, jointly released by the Digital Advertising Association of Thailand and Kantar Insights Thailand, digital advertising expenditure is projected to reach 33.8 billion baht (US$1 billion), marking an impressive 16% increase.
Paruj Daorai, association president, highlighted that despite this surge in digital ad spending, the overall marketing budget, encompassing both offline and online channels, may remain stable or only rise in tandem with inflation.
“This reflects a shift in marketers’ budgets, with a greater proportion now being allocated to digital advertising.”
The skincare sector has been a significant contributor to this growth, with digital ad spending in this category increasing by 40% last year.
Arpapat Boonrod, managing director of clients for Thailand and head of growth SEA at Kantar Insights Thailand, anticipates this upward trajectory to continue, with an expected 46% growth this year. Boonrod attributes this to a vibrant market environment and elevated consumer expenditure.
Automotive industry
The automotive industry is also witnessing substantial growth in digital ad spending, driven by the entry of new electric vehicle manufacturers and the efforts of existing market leaders to maintain consumer engagement. The report forecasts a 30% increase in digital ad spending within this sector.
In terms of industry-specific spending, skincare leads the chart with an allocation of 5 billion baht (US$148.3 million), followed by the automotive industry with 3.8 billion baht (US$112.7 million). Non-alcoholic beverages, dairy products and dairy substitutes, and retail sectors follow with expenditures of 2.8 billion baht (US$83 million), 2 billion baht (US$59.3 million), and 1.6 billion baht (US$47.4 million), respectively.
Boonrod further pointed out that the expansion of e-commerce is a significant driver of digital ad spending, as consumers increasingly rely on both online and offline platforms for information gathering and purchasing decisions.
“Some Thais spend most of their time online, which also supports the growth of digital advertising.”
Boonrod also highlighted the pivotal role of consumer behaviour in shaping advertising trends.
The receptiveness of Thais to new applications and technology, along with their openness to online communication, is expected to sustain the momentum in digital advertising, reported Bangkok Post.
“The future of digital advertising looks promising over the next several years.”
