Communication Industry Pushes Thailand's Digital Ad Spending to New Highs - eMarketer
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Communication Industry Pushes Thailand's Digital Ad Spending to New Highs

Communications companies expected to grow their digital ad outlays by 34% this year

April 12, 2016

Digital ad spending in Thailand will see healthy growth this year, driven primarily by a strong advertising push among companies in the country’s communications and motor vehicles sectors. According to research from the Digital Advertising Association of Thailand (DAAT) and market research firm TNS, digital ad spending in the country is expected to reach 9.92 trillion Baht ($281 Million) this year.

Top 10 Industries in Thailand, Ranked by Digital Ad Spending Growth, 2016 (millions of Thai baht and % change vs. 2015)

The DAAT and TNS forecast is lower than estimates made by eMarketer, which expects Thailand’s digital ad spending in 2016 to reach more than $421 million in 2016. Part of the discrepancy between the two predictions is due to differences in how the two forecasts account for different types of digital ad formats. For instance, eMarketer’s estimate also includes spending on digital classified ads, which account for more than $68 million of this year’s estimate. Another reason may be under-reporting of digital advertising that doesn’t happen via agencies in DAAT’s estimates. This would include formats such as self-serve advertising on social platforms like Facebook.

Digital Ad Spending in Thailand, by Format, 2014-2020 (millions, % change and % of total)

Among the industries tracked by DAAT and TNS, both the communications and motor vehicle sectors are on pace to lead all ad spending in Thailand for 2016. Communications companies, which in this case likely refers to companies advertising products like mobile apps, social networks and Internet service, are expected to grow their digital ad outlays by 34% in 2016, reaching 330 million Baht ($9.3 million). Meanwhile, the DAAT study predicts the motor vehicles sector will also significantly boost its own digital ad spending by 34% over 2015, reaching a predicted 310 million Baht ($8.7 million).

These predictions match with additional data from Nielsen tracking the top 10 advertisers in Thailand for 2014 and 2015 ranked by total media spend, which included car companies Toyota Motor Thailand and Tri Petch Isuzu Sales, plus Thai internet firm DTAC, among its top spenders.

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