Why Saudi Arabia is a Priority Market for US-based Adtech Company Teads
Expanding from the US, Teads has quickly emerged as a crucial player in the Saudi adtech sector.
The ad sector in Saudi Arabia has been digitally disrupted as internet services and social media users have significantly increased. Digital ad spending in Saudi Arabia is anticipated to expand to $1,438.5 million by 2027, up from $973.1 million in 2022.
As Saudi audiences increasingly engage with localized content, global advertising technology (adtech) players like Teads are well-placed to capitalize on this strong demand by enabling advertisers to deliver personalized messaging and enhance targeting.
With 1,200 employees across 50 offices in 30 countries, the US-headquartered company connects advertisers with 1.9 billion monthly users globally while helping publishers monetize digital content.
Following successful UAE operations, Teads identified Saudi Arabia as a strategic priority.
Localization Powers Teads’ Growth in Saudi Arabia
Teads’ expansion into Saudi Arabia was facilitated by AstroLabs, the Gulf's leading business expansion platform.
AstroLabs’ deep local expertise and strong stakeholder networks made it easy for Teads to set up, operate, and scale in Saudi Arabia.
"AstroLabs' on-ground team played a pivotal role in streamlining our expansion by providing valuable insights into the local market dynamics and establishing connections with key stakeholders," said Wael Zeidan, deputy managing director at Teads.
As Saudi Arabia's economy expands, consumer demand for products and services intensifies, driving brands to seek more effective ways to reach and engage their target audiences.
Quoting a study by the Interactive Advertising Bureau (IAB), Zieden emphasized the growth of the Saudi advertising market is outpacing that of other markets in the region, saying: “Saudi Arabia’s digital advertising experienced a digital ad growth of 29% in 2022 relative to the year prior, surpassing the regional benchmark.”
The expansion of the digital ad sector is directly ascribed to the increased popularity of digital transactions and a thriving e-commerce market projected to reach $68.94 billion by 2033.
Related read: Setting up an E-commerce Business in Saudi Arabia: Procedures, Regulations and More
Leveraging the Power of AI and Data to Supercharge Adtech Growth in Saudi Arabia
Amid the rising adoption of digital content consumption, more advertisers are increasingly employing data-driven strategies and automation to boost the contextual relevance of their campaigns and reach the right audience at the right time.
“Advertisers are staying ahead of these trends by embracing new technologies and understanding the cultural nuances, enabling them to create impactful online ads that truly resonate with audiences, ”Zeidan explained.
This has, in turn, driven the need for greater AI integration, advanced data management processes, and access to quality inventory (ad space).
Through its platform, Teads helps advertisers stay ahead of the curve by being up to date on the latest changes in this dynamic landscape.
“Teads distinguishes itself with a proven track record in all these disciplines. We are dedicated to placing our technological innovation in the hands of companies at the forefront of the transformation and growth journey in Saudi Arabia,” Zeidan noted.
This positioning has proven effective in securing government contracts and private sector partnerships across multiple industries.
With its accelerated footprint expansion, Teads has rapidly emerged as a key player in the Saudi adtech sector. The company has so far executed high-impact campaigns for several giga projects such as NEOM, Qiddiya, PIF, and New Murabba, alongside key governmental entities such as the Ministry of Culture (MoC), among others.
These campaigns have been effectively conveying the brand message across different channels and promoting Saudi Arabia as a foremost destination for tourism and investment.
