Asia Pacific’s advertising market is on course to reach US$276.1 billion in 2026, up 5.3 percent, with India emerging as the fastest-growing major market at 9.3 percent, according to a new report by Singapore-based Media Partners Asia

Digital now accounts for 75 percent of all spend across 14 tracked markets, and retail media has grown to twice the size of linear television, signalling a decisive shift in where incremental ad dollars are flowing, an MPA press statement stated.

The region’s ad spend, which stood at US$262.2 billion in 2025, is forecast to expand at a 4.0 percent CAGR to US$335.5 billion by 2031. Digital is expected to reach US$206.0 billion in 2026, representing 75 percent of all spend, and rise to 80 percent by 2031.

Growth is being driven by rising commerce-media take rates across Southeast Asia, AI-driven ad tech lowering campaign costs, and GDP growth of 5–6 percent or more in India, Vietnam, the Philippines and Indonesia.

Retail media is the defining story of the report, forecast to reach US$75.5 billion in 2026 — 36.7 percent of digital advertising including China and 20.0 percent excluding it — and US$110 billion by 2031.

It is already twice the size of linear TV region-wide, 1.5 times all online video and five times premium AVOD. China leads with retail media crossing half of all digital spend by 2031; India is scaling the format fastest at a 16.4 percent CAGR with quick commerce the accelerant.

“Asia Pacific advertising grows 5 percent to US$276 billion this year, but the key is where the growth is going,” said Vivek Couto, CEO and Executive Director, MPA.

“Retail media is now the largest incremental pool in the region and already twice the size of linear television and 1.5x all of online video. The money is coming into the platforms that can close the loop between content, discovery and purchase,” he added.

Online video is forecast at US$51.0 billion in 2026, with 70 percent of it user-generated and social video, rising to US$70.7 billion by 2031.

Premium AVOD is the fastest-scaling line, growing from US$15.3 billion to US$22.6 billion (8.1 percent CAGR) as streamer ad tiers scale and broadcaster-backed platforms — from TVer in Japan to JioHotstar in India — deliver premium inventory at scale on the connected TV screen.

Legacy media continues to lose ground, with linear TV declining almost everywhere — from managed erosion in Japan (−2.1 percent CAGR) to structural collapse in Korea (−10.4 percent in 2026 alone).

Out-of-home is the only traditional medium growing region-wide, in 11 of 14 markets, from US$20.0 billion to US$25.3 billion, while premium AVOD is set to surpass print, radio and cinema combined by 2031.

Concentration of spend remains high. Three companies — Meta (15.9 percent), ByteDance (14.8 percent) and Google (13.0 percent) — captured 44 percent of Asia Pacific’s net advertising spend in 2026, and the top 20 media owners account for 82 percent.

Nine Chinese platforms together take 43.8 percent, more than the three US platforms combined at 31.5 percent, while JioStar is the only television-rooted company in the top 20. (The image is AI generated and based on MPA data)