2024 was not an easy year in the Middle East and North Africa. As a result, our industry faced significant challenges. We saw multinational brands face boycotts across the GCC, Levant and North African markets. Supply chain disruptions and inflated costs driven by rising shipping expenses further compounded the difficulties. And sharp shifts in Saudi Arabia’s spending priorities, the devaluation of the Egyptian pound, and persistent market inflation added to the complexities.
Major pitches amid uncertainty
Specifically, within our sector, major pitches occurred this year in MENA, with agencies defending or pitching businesses worth more than $1bn in media billings. In the face of considerable hurdles, the MENA media industry underwent a dramatic transformation in 2024.
Despite challenges, our region emerged as one of the highest-growing markets for media investment in 2024, according to our GroupM global This Year Next Year (TYNY) report, outperforming the report’s estimated media ad spending growth of 9.5 per cent. While some projects saw reduced spending, others emerged to compensate for these losses.
Rise of regionally based agencies and localised content
Brand agencies reclaimed their strategic position as new companies emerged, especially in Saudi Arabia, increasingly favouring integrated service models over siloed approaches. This opened doors for local agencies to emerge as formidable competitors developing comprehensive service offerings.
The shift was particularly notable in the Kingdom, where government initiatives actively supported agency growth, influencing client preferences and market dynamics. MENA-based agencies have increased emphasis on locally produced content, especially during Ramadan, leading both international and local brands to invest more in market-specific content rather than only solely relying on global assets.
Outbound media spending trends
Nevertheless, outbound media spending, targeting Europe, the US, China and Russia, is still significantly higher than local spend, especially for local advertisers in UAE, Qatar and Saudi Arabia. And this is not only on global tech platforms, but it is visible on traditional channels such as out-of-home (OOH) billboards and global TV stations.
Advancing measurement standards
To complement the growth potential of connected TV and digital OOH (DOOH), the industry pushed this year for better measurement standards, particularly in TV, DOOH and social media. Cross-platform measurement became a key focus, with new solutions emerging for the regional market. In traditional media, the long awaited ‘people meter’ introduction and adoption in Saudi Arabia brought new dimensions to the TV landscape.
Advertisers and broadcasters now need to reconcile two different methodologies – computer-aided telephone interviews (CATI) and people meters – especially regarding Saudi station spillover viewership in MENA and optimising local stations for incremental reach in these local markets.
Digital transformation continues to accelerate
As a result, budget allocation shifted significantly as digital transformation accelerated across sectors. Traditional media remained relevant but required more integration with digital channels.
DOOH saw substantial growth, particularly in UAE and Saudi Arabia, with increased real-time buying capabilities and better measurement solutions. However, this medium still needs major infrastructure developments and smart city initiatives to enable true real-time bidding capabilities.
Gaming and fandom
Gaming has emerged as a transformative force in the MENA media landscape during 2024, particularly in Saudi Arabia. The region hosted high-profile gaming events like the Esports World Cup, showcasing the Kingdom’s commitment to becoming a global hub for gaming and esports. Significant partnerships between gaming platforms and local entities further underscore the sector’s growing importance, with brands increasingly recognising gaming as a vital channel for engaging younger audiences.
Sports marketing has also witnessed remarkable growth, driven by major investments in Saudi Arabia and Qatar. Landmark events, such as Saudi Arabia’s successful bid to host the FIFA World Cup 2034 and the Grand Prix, have attracted global attention and participation. This will only accelerate, and we will see unprecedented growth through high-profile events, sponsorships, and innovative activations.
Evolution of retail
The retail media landscape transformed significantly as major regional retailers developed their own media networks. Traditional retail groups invested heavily in digital capabilities, creating new opportunities for targeted advertising and shopper marketing.
The data landscape evolved significantly, marked by aggressive competition for first-party data partnerships with retailers. E-commerce will continue to evolve, integrating social and live-shopping while sharpening its focus on measurement and attribution.
AI vs reality
AI has seamlessly integrated into our daily lives, becoming a cornerstone of every strategy we implemented this year. While AI was a prominent topic in 2024, its transformative benefits are still in the early stages in the region.
Looking ahead, we anticipate AI and machine learning will intensify and automation will increase numerous aspects of our operations, enabling marketers to shift their focus toward more business growth-related initiatives. In turn, agencies will be able to foster stronger client relationships.
As we look towards the new year, the MENA media industry is poised to sustain its momentum; it’s an exciting time to be in media in MENA, with some of the fastest growth rates in the world, and enormous opportunities for transformation and innovation to come. Challenges from 2024 will ultimately serve as catalysts for further innovation and resilience. 2025 will be the year of evolution, driven by adaptability and a steadfast focus on growth.
By Amer El Hajj, CEO at GroupM MENA
