Market Insights Advertising & Media Advertising

Influencer Advertising - New Zealand

New Zealand

Ad spending in the Influencer Advertising market in New Zealand is forecasted to reach €43.48m in 2024.
The expected annual growth rate (CAGR 2024-2029) is 8.19%, leading to a projected market volume of €64.44m by 2029.
The average ad spending per internet user in the Influencer Advertising market in New Zealand is projected to be €8.46 in 2024.
When compared globally, the highest ad spending is anticipated China (€17,770.00m in 2024).
In New Zealand, Influencer Advertising is rapidly growing, with brands leveraging local influencers to authentically connect with the Kiwi audience.

Key regions: Australia, Germany, France, Europe, United States

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Analyst Opinion

The Influencer Advertising market in New Zealand has been experiencing significant growth in recent years. Customer preferences, trends in the market, local special circumstances, and underlying macroeconomic factors are all contributing to this development.

Customer preferences: Customers in New Zealand are increasingly turning to social media platforms for entertainment, information, and inspiration. As a result, they are more likely to engage with content created by influencers who have a strong presence on these platforms. Influencers are seen as relatable and trustworthy, and their endorsements carry significant weight with consumers. This has led to a surge in demand for influencer advertising in New Zealand.

Trends in the market: One of the key trends in the influencer advertising market in New Zealand is the rise of micro-influencers. These are individuals who have smaller but highly engaged audiences. Brands are recognizing the value of working with micro-influencers as they often have a more niche and targeted following. This allows brands to reach a specific audience that is more likely to be interested in their products or services. Additionally, micro-influencers are often more affordable to work with compared to macro-influencers, making influencer advertising more accessible to a wider range of businesses. Another trend in the market is the increasing use of video content. Platforms like YouTube and TikTok have gained significant popularity in New Zealand, and influencers are leveraging these platforms to create engaging video content. Video content allows influencers to showcase products or services in a more dynamic and interactive way, capturing the attention of their audience and driving higher engagement.

Local special circumstances: New Zealand has a unique culture and identity that is reflected in the influencer advertising market. There is a strong emphasis on sustainability, environmental consciousness, and supporting local businesses. Influencers who align with these values and promote sustainable and locally-made products are highly regarded by consumers. This has led to an increase in collaborations between brands and influencers who share these values, further driving the growth of the influencer advertising market.

Underlying macroeconomic factors: New Zealand has a stable economy with a growing middle class. This has led to increased consumer spending and a greater demand for products and services. Brands are recognizing the importance of reaching this consumer segment and are turning to influencer advertising as a way to connect with their target audience. Additionally, the widespread adoption of smartphones and access to high-speed internet has made it easier for consumers to engage with influencer content, further fueling the growth of the market. In conclusion, the Influencer Advertising market in New Zealand is developing rapidly due to customer preferences for social media content, the rise of micro-influencers, the increasing use of video content, local special circumstances such as sustainability and supporting local businesses, and underlying macroeconomic factors such as a growing middle class and widespread access to smartphones and internet. This growth is expected to continue as more brands recognize the value of influencer advertising in reaching and engaging with their target audience.

Methodology

Data coverage:

Data encompasses enterprises (B2B). Figures are based on influencer advertising spending and exclude agency commissions, rebates, production costs, and taxes. The market covers advertising fees paid directly to influencers to post sponsored content.

Modeling approach:

Market size is determined by a combined top-down and bottom-up approach. We use market data from independent databases, influencer marketing platforms, and third-party reports to analyze and estimate global influencer advertising spending. We start by researching on the average cost per content post on each social media platform, the number of influencers available on advertising platforms (breakdown by tier: nano, micro, macro, and mega), and the average number of posts per year. Then we estimate the market size for each country individually. We use relevant key market indicators and data from country-specific industry associations, such as GDP, social media users, and digital consumer spending. Lastly, we benchmark key countries or regions (global, United States, China, etc.) with external sources.

Forecasts:

We use a variety of forecasting techniques, depending on the behavior of the market. For instance, the S-curve function is well suited to forecast digital products due to the non-linear growth of technology adoption, whereas exponential trend smoothing (ETS) is more suited for projecting steady growth in traditional advertising markets.

Additional notes:

Data is modeled using current exchange rates. The impacts of the COVID-19 pandemic and the Russia-Ukraine war are considered at a country-specific level. The market is updated twice per year in case market dynamics change.