Programmatic advertising business to reach €2bn in Europe by 2020

Programmatic online video advertising in Europe will be a €2 billion industry by 2020, according to research commissioned by video advertising technology provider SpotX from IHS.

According to the IHS research, programmatic advertising has grown from €22 million in 2012 to €375 million last year and will continue to grow at a rate of 38.7% between now and the end of the decade, when over half of all online video advertising revenue in Europe wiol be generated programmatically.

The big five European markets – the UK, France, Germany, Italy and Spain – will generate €1.512 billion in programmatic sales by 2020, up from €286 million in 2015, led by the UK, which will see programmatic sales grow from €135 million to €602 million.

France will see programmatic sales grow from €67 million to €358 million, while Germany will see sales grow from €31 million to €254 million, enabling it to overtake currently third-placed Italy.

The Benelux region will account for €198 million of programmatic sales by 2020, while the Nordic countries will account for €138 million.

“The data shows the dramatic rise of video advertising across Europe, which has been reflected in our own growth across Europe with rising revenues every year.  We introduced video real time bidding in 2010, and now have established offices in London, Hamburg and Amsterdam contributing to the global growth of SpotX.  The UK, France and the Netherlands are leading the adoption of programmatic online video in Europe, followed by a sizeable and important market in Germany, as well as emerging markets with high potential including the Nordics, Spain, Italy, Switzerland and Austria,” said Mike Shehan, CEO of SpotX.