As Kingpin expands and grows within APAC, I've been looking to find out the key differences in digital advertising for the region. How can we work more efficiently not just in APAC but what lessons can we learn to help our clients globally.
A recent forecast from Zenith predicts that APAC will contribute up to 33.4% of global growth in online Ad spend. On top of this, spend in Asia / Pacific on digital transformation is set to reach $386 Billion in 2018 according to the latest IDC spending guide. So maybe it's time to take notice.
APAC is more than the sum of its parts.
With a region that includes Australia, Singapore, Malaysia and China it would be foolish to see this as one market. According to a study by Forrester commissioned by Mediamath, programmatic adoption in Singapore is at 46% amongst senior marketers (for context, Australia are at 48% and Indonesia at 30%).
Meanwhile China is predicted to overtake the US in digital spend in the coming years based on research from Statista
In other markets, adoption and growth is hindered by consumers buying offline.
"Programmatic is still struggling with the providing a profitable alternative to advertisers. The challenge is bigger with markets like Indonesia, Vietnam, India, and Singapore which doesn’t have the full potential yet for online conversion. However, the researchers expect the programmatic to grown in SEA region driven by a potential increase in online shopping."
Regional, local and personal.
As a whole, digital spend across APAC is on the rise and brands should be taking notice - however some countries are running while others have just started walking. The adoption of digital across the region means that things are about to rapidly shift from more traditional means. The process has been gradual and sometimes slow within the Western world but now marketers need to adapt quickly.
What can we learn?
APAC is fragmented and the cultures within are massively varied. As such, to approach and tackle the region you need to think locally rather than regionally. This in my view is a lesson for the West.
For example in the US is the market the same in Texas as it is in California? And within the diversity of EMEA, should you be speaking the language of the locals rather than just shouting loudly with a dodgy accent?
We appear to have jumped straight into hyper-personalised messaging to individuals but in the world of B2B, and while this is a good thing, it's also important to understand the underlying diversity of a country and how different cultures and audiences buy, sell and consume media.
One size does not fit all and at Kingpin we make sure our approach fits not just the client but the market.
The diversity of consumer patterns, publishers and local networks across the region is the main factor that is impacting programmatic in APAC. The demand for programmatic as the most reliable solutions for digital advertisers to access the local markets with an effective strategy requires customized tactics.