The Nigerian social media advertising market spending is projected to reach a Compound Annual Growth Rate (CAGR) of 4.64%, resulting in a projected market volume of US$139.5m by 2028. This is according to insights and analysis made available by market research store platform, Statista.

In 2023, Ad spending in the Social Media Advertising market was projected to reach US$111.2m. In global comparison, most advertising spending is generated in the United States at US$72,330m in 2023.

The insight and analysis encompasses the Social Media Advertising sector, a prevalent category within Digital Advertising. It covers all advertising revenue generated by social networks or business platforms like Facebook, Instagram, Twitter, or LinkedIn.

The analysis noted some factors that are projected to drive the growth of the Nigerian social media advertising market such as high mobile penetration. With over 190 million mobile subscribers, Nigeria boasts one of the highest mobile penetration rates in Africa. This widespread mobile access allows businesses to reach a large audience on-the-go through social media ads. The number of social media users in Nigeria is steadily rising, driven by improved internet access and affordability. This expanding user base presents a lucrative market for advertisers.

Another contributing factor is the rise of influencer marketing where collaborations with popular influencers on social media platforms are becoming increasingly popular among businesses, offering a targeted and effective way to reach audiences.

The Nigerian social media advertising market is poised for continued growth in the coming years. As internet penetration increases, smartphone adoption continues, and consumer behavior evolves, businesses will have even more opportunities to reach their target audiences through effective social media advertising campaigns.

Nigeria boasts a vibrant and rapidly growing social media landscape, with an estimated 40 million active users (as of January 2023) across various platforms. This presents a significant opportunity for businesses to reach a wide audience and target potential customers through social media advertising.