Digital Media Market Size, Share & Trends Analysis Report By Content Type (Video, Audio), By Platform (Smartphone, Television), By Application, By Industry Vertical, By Region, And Segment Forecasts, 2024 - 2030

Digital Media Market Size & Trends

The global digital media market size was estimated at USD 832.99 billion in 2023 and is expected to grow at a CAGR of 12.8% from 2024 to 2030. The increasing demand for digital media content across different sectors such as business, medical, education, financial, and others is driving the market growth. This rising demand is fueled by advancements in digital media technology, leading to a more diverse range of communication methods and content, which is further fueling the market expansion.

The growing popularity of social media advertising and location-based video content has been a significant driver of the digital media market's growth. The visual nature of social media platforms allows businesses to build a strong brand presence and enhance awareness among large user bases, while the rise of short-form, location-targeted video formats like Instagram Reels and TikTok videos enables more effective, data-driven advertising and marketing strategies. The combination of visual branding, targeted reach, and engaging content has made social media a powerful tool for businesses to connect with consumers and achieve their digital marketing objectives, fueling the expansion of the market.

The rapid expansion of internet infrastructure globally has facilitated greater access to digital content for users around the world. This increased connectivity has led to a surge in online activities ranging from streaming services to social networking platforms. In addition, technological advancements such as improved streaming capabilities, virtual reality (VR), augmented reality (AR), artificial intelligence (AI), and personalized content delivery are enhancing the user experience and driving consumer interest in digital media offerings.

Furthermore, the shift towards mobile consumption, with smartphones becoming the primary devices for accessing digital content, is a significant driver of market growth. As smartphones evolve with larger screens, faster processors, and improved connectivity, they provide a more engaging and seamless user experience for consuming digital media. Mobile-friendly formats, such as responsive websites and dedicated apps, cater specifically to the preferences and behaviors of mobile users, ensuring that content is easily accessible and consumable on the go. This growing dependency on mobile devices for media consumption has led to an increase in digital advertising spending targeted at mobile users, further boosting the digital media market.

Companies operating in the market have adopted various strategies to enhance their market presence. Content diversification is key, offering a broad spectrum of digital content like videos, articles, podcasts, and interactive media to cater to different audience preferences. Leveraging data analytics allows for personalized content recommendations, boosting user engagement and retention. For instance, in April 2023, Netflix announced its global expansion plans aiming to further increase its presence and reach worldwide. The company’s expansion plans include launching in several countries across different regions, investing in local content production, and strengthening partnerships with creators and talent globally. Netflix aims to solidify its position as a leading streaming service by providing diverse and engaging content to subscribers worldwide. Such strategies by key players are expected to fuel market growth in the coming years.

Market Concentration & Characteristics

The degree of innovation in the market is anticipated to be high. Rapid advancements in technology, such as artificial intelligence, machine learning, virtual reality, and augmented reality, are continually transforming how digital content is created, distributed, and consumed. Companies are constantly innovating to provide more immersive and personalized experiences to users, staying ahead in a highly competitive landscape. New formats and platforms, like streaming services, social media, and interactive content, emerge frequently, driving continual evolution within the industry.

The level of mergers & acquisition activities in the market is expected to be moderate. Companies operating in this sector are actively engaging in M&A activities to enter new markets and strengthen their competitive positions. These activities allow companies to integrate complementary services, enhance content libraries, and access new user bases. For instance, in June 2024, Amazon.com, Inc. announced its plans to acquire certain assets of the Indian streaming service MX Player. This acquisition is expected to bring about synergies between Amazon’s existing content library and MX Player’s platform, providing users with a wider range of entertainment options.

The impact of regulations on the market is expected to be moderate to high. Governments and regulatory bodies impose rules regarding content distribution, data privacy, intellectual property rights, and advertising standards. Compliance with regulations such as the General Data Protection Regulation (GDPR) in Europe and the Digital Millennium Copyright Act (DMCA) in the U.S. aims to protect consumer rights, ensure fair competition, and prevent the spread of misinformation.

The competition from product substitutes in the market is expected to be moderate. The market faces competition from various substitutes such as television and radio. In addition, user-generated content on platforms like YouTube and TikTok competes with professionally produced digital media. The rise of alternative entertainment options, such as video games and e-sports, also presents competition. Companies must differentiate their offerings through unique content, superior user experience, and innovative features to remain competitive.

The end user concentration in the market is expected to be moderate to high. While some platforms cater to broad, diverse audiences, others target specific demographics or niches. For instance, streaming services like Netflix and YouTube attract a wide range of users globally, whereas niche platforms may focus on particular interests, such as fitness, education, or gaming.

Content Type Insights

The video segment registered the largest market shareof over 37% in 2023. The advancements in technology, such as faster internet speeds, improved video streaming capabilities, and the proliferation of mobile devices, have made consuming video content more accessible than ever before. This accessibility has led to a surge in demand for video content, further accelerating the segmental growth. In addition, social media platforms have played a significant role in popularizing video content. Features such as live streaming, stories, and short-form videos have become integral parts of social media experiences, driving user engagement and consumption of video content.

The interactive segment is expected to grow at the fastest CAGR of over 13% from 2024 to 2030. This rapid expansion is driven by the shift towards interactive advertising formats to capture consumer attention in a crowded digital landscape. Interactive ads offer higher engagement rates and better conversion opportunities, making them a preferred choice for advertisers looking to drive results.Consumers are seeking more immersive and engaging experiences across digital platforms. The interactive segment caters to this demand by offering dynamic and interactive content that keeps users actively involved, leading to longer session durations and repeat visits.

Platform Insights

The smartphone segment registered the largest market sharein 2023. Smartphones have evolved significantly over the years, offering advanced features such as high-resolution displays, powerful processors, and fast internet connectivity. These technological advancements have made smartphones a preferred choice for consuming digital media content due to the enhanced user experience they provide. In addition, advertisers are increasingly targeting smartphone users due to the large audience base and engagement levels on mobile devices. This has led to a significant increase in mobile advertising spending, further driving the growth of digital media consumption on smartphones.

The computer segment is expected to register the fastest CAGR from 2024 to 2030. The global shift towards remote work, online education, and digital entertainment is expected to continue beyond 2024. As a result, there will be an increased reliance on computers for communication, collaboration, content creation, and entertainment purposes. This trend is likely to fuel the growth of the computer segment in the market.

Application Insights

The marketing & advertising segment registered the largest revenue share in 2023. With the proliferation of digital channels such as social media, search engines, email marketing, and mobile apps, companies can implement multi-channel marketing strategies to reach consumers across various touchpoints. This integrated approach increases brand visibility and customer engagement, leading to a larger revenue share within the marketing segment.

The streaming segment is anticipated to record the fastest growth from 2024 to 2030. The growing popularity of on-demand content consumption has led to a surge in demand for streaming services. Consumers are increasingly shifting towards digital platforms for entertainment, leading to a rise in subscriptions to streaming services. Streaming platforms are continuously expanding their content libraries by investing in original programming and acquiring rights to popular shows and movies. This diverse range of content attracts more subscribers, driving growth in the streaming segment.

Industry Vertical Insights

The entertainment segment in the market held the largest share in 2023. The advancements in technology have significantly enhanced the digital entertainment experience. High-quality streaming services, virtual reality (VR) gaming, interactive content, and personalized recommendations have made digital entertainment more immersive and engaging than ever before. These technological innovations have driven consumer interest and the adoption of digital entertainment platforms.

The retail & e-commerce segment is anticipated to record the fastest growth from 2024 to 2030.The proliferation of smartphones and mobile devices has revolutionized the way people shop. With the convenience of mobile commerce apps and websites, consumers can easily browse, compare prices, and make purchases on the go. This shift towards mobile shopping has significantly boosted e-commerce sales and is expected to continue driving growth in the retail sector.

Regional Insights

The North America digital media market accounted for the largest revenue share of over 37% globally in 2023. This growth can be attributed to the region's advanced technological infrastructure, presence of major tech giants, and strong emphasis on research and innovation. In addition, the region has a high rate of digital technology adoption among consumers. This includes the widespread use of smartphones, tablets, laptops, and other connected devices, which has driven the consumption of digital media content.

U.S. Digital Media Market Trends

The digital media market in the U.S. is projected to grow at a CAGR of over 11% from 2024 to 2030. The E-commerce market in the U.S. is highly developed, with a significant portion of retail sales occurring online. This has fueled the growth of digital advertising as businesses seek to reach consumers through online channels.

Europe Digital Media Market Trends

The digital media market in Europe is anticipated to grow at a CAGR of over 12% from 2024 to 2030. This growth is driven by a high level of internet penetration, with a large percentage of its population having access to the internet. As internet connectivity continues to improve and expand across the region, more consumers are gaining access to digital media platforms, leading to increased consumption and demand for digital content.

The UK digital media market is anticipated to grow at a CAGR of over 11% from 2024 to 2030. This growth can be attributed to the trend towards digitalization across various industries in the UK. This shift is driven by technological advancements, changing consumer preferences, and the need for businesses to adapt to digital channels for marketing and distribution. As more companies invest in digital media strategies, the market is expected to experience significant growth.

The digital media market in Germany is expected to grow at a CAGR of over 12% from 2024 to 2030. The growth of the market can be attributed to the popularity of streaming services such as Netflix, Amazon Prime Video, and Disney+. With an increasing number of consumers opting for online streaming platforms over traditional TV services, there is a growing demand for digital content creation and distribution.

The France digital media market is projected to grow at a CAGR of over 12% from 2024 to 2030. Advertisers are increasingly allocating their budgets toward digital advertising channels due to their effectiveness in reaching target audiences and providing measurable results. This shift in advertising expenditure towards digital platforms is fueling the growth of the digital media market in France.

Asia-Pacific Digital Media Market Trends

The digital media market in the Asia-Pacific region is expected to grow at the fastest CAGR of over 14% from 2024 to 2030. The number of internet users in the APAC region has been growing steadily, with China and India leading the way. This rapid expansion of internet access offers a vast pool of potential customers for digital media platforms, driving market growth.

The China digital media market is projected to grow at a CAGR of nearly 14% from 2024 to 2030. The country has a high adoption rate for smartphones and other mobile devices, as reported by Statista. As a result, consumers are increasingly reliant on mobile devices for accessing digital media content such as social media, streaming services, and e-commerce platforms. This trend contributes to market growth in China.

The digital media market in Japan is expected to grow at a CAGR of over 14% from 2024 to 2030. The country has a high adoption rate for smartphones and other mobile devices. As a result, consumers are increasingly reliant on mobile devices for accessing digital media content such as social media, streaming services, and e-commerce platforms. This trend contributes to market growth in Japan.

India digital media market is expected to grow at a CAGR of over 16% from 2024 to 2030. The rapid economic growth is leading to an increase in disposable income and consumer spending power, which is driving the rapid growth of the digital media market in India.

Middle East And Africa Digital Media Market

The digital media market in the Middle East and Africa is expected to grow at a CAGR of over 12% from 2024 to 2030. This growth can be attributed to various factors, such as increasing internet penetration, rising smartphone adoption, a young and tech-savvy population, and a growing demand for digital content and services.

The Saudi Arabia digital media market is anticipated to grow at a CAGR of over 11% from 2024 to 2030. The rising shift towards consuming digital content among consumers driven by factors such as convenience, accessibility, personalized recommendations, diverse content offerings, and improved internet infrastructure is driving market growth in Saudi Arabia.

Key Digital Media Company Insights

Some of the key players operating in the market include Amazon.com, Inc., Netflix Inc., and Kaltura, Inc.

• Amazon.com, Inc. offers a wide range of cloud-based services and solutions. Amazon’s digital media services include Amazon Prime Video, a popular streaming platform with a vast library of movies and TV shows. Additionally, Amazon Web Services provides cloud infrastructure and content delivery services that support various digital media applications.

• Netflix, Inc. offers a vast library of movies, TV shows, documentaries, and original content. The company revolutionized the way people consume media by popularizing binge-watching culture through its on-demand streaming model. The company invests heavily in producing original content known as Netflix Originals, which have garnered critical acclaim and audience popularity worldwide.

Kaltura Inc., Apple Inc., and Disney are some of the emerging market participants in the market.

• Kaltura, Inc., is known for its video platform solutions. The company offers a comprehensive suite of video-related products and services, including video hosting, management, distribution, and monetization tools. The company caters to a diverse range of clients across industries such as media and entertainment, education, enterprise, and more.

• Disney has made significant strides with the launch of Disney+, its subscription-based streaming service that offers a library of content from its extensive portfolio, including Pixar, Marvel, Star Wars, and National Geographic. The company’s strategic focus on direct-to-consumer streaming services aligns with the shifting landscape of media consumption towards digital platforms.

Recent Developments

• In June 2024, Amazon Prime Video launched Crunchyroll in India, expanding its digital media offerings in the country. Crunchyroll is a popular anime streaming service that will now be available to Indian audiences through Amazon Prime Video. This move aims to cater to the growing demand for anime content in India and enhance the streaming platform’s entertainment options for its subscribers.

• In June 2024, Netflix, Inc. announced the release of new mobile games available on its platform. As a leading streaming service, Netflix's expansion into mobile gaming represents a strategic move to diversify its content offerings and enhance user engagement within the broader digital media landscape. By providing subscribers with access to a growing library of mobile games, Netflix is positioning itself as a more comprehensive entertainment destination, blending traditional streaming content with interactive gaming experiences.

• In March 2024, Hulu on Disney+ launched the U.S. for Disney Bundle Subscribers. Hulu's extensive library of over 70,000 TV episodes and movies will now be fully integrated into the Disney+ app, providing Bundle subscribers with greater convenience, value, and discoverability by having the breadth and depth of both Hulu and Disney+ content available in one place.

Digital Media Market Report Scope

Global Digital Media Market Report Segmentation

This report forecasts revenue growth at global, regional, and country levels and provides an analysis of the latest industry trends in each of the sub-segments from 2017 to 2030. For this study, Grand View Research has segmented the global digital media market report based on content type, platform, application, industry vertical, and region:

• Content Type Outlook (Revenue, USD Billion, 2017 - 2030)

  • Video

  • Audio

  • Text

  • Images

  • Interactive Media Content

  • Others

• Platform Outlook (Revenue, USD Billion, 2017 - 2030)

  • Smartphone

  • Television

  • Computer

  • Tablets

  • Others

• Application Outlook (Revenue, USD Billion, 2017 - 2030)

  • Marketing & Advertising

  • Training & E-Learning

  • Social Media

  • Streaming

  • Others

• Industry Vertical Outlook (Revenue, USD Billion, 2017 - 2030)

  • Entertainment

  • Retail and E-commerce

  • Healthcare

  • Government

  • BFSI

  • Telecom

  • Automotive

  • Hospitality

  • Non-profit Organizations

  • Publishing

  • Others

• Regional Outlook (Revenue, USD Billion, 2017 - 2030)

  • North America

    • U.S.

    • Canada

  • Europe

    • UK

    • Germany

    • France

    • Italy

    • Spain

  • Asia Pacific

    • China

    • Australia

    • Japan

    • India

    • South Korea

  • Latin America

    • Brazil

    • Mexico

  • Middle East & Africa

    • South Africa

    • Saudi Arabia

    • UAE