Advertisers use digital advertising to target certain groups more likely to purchase their product or service. Certain countries are more lucrative for advertisers than others. Economic criteria are used to classify countries into tiers.
Advertisers prefer wealthy nations with greater earnings, whereas low-income countries are less appealing. This is because more prosperous nations are more likely to create conversions or sales.
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What are Tier 1, Tier 2, and Tier 3 Countries?
Advertisers categorize nations into Tiers 1, 2, and 3 according to their economic importance.
Tier 1: The world’s richest nations, where people earn a lot of money and have a lot of it to spend. The cost per click (CPC) for an ad campaign in Tier 1 countries is also costly due to the high level of competition and CPCs. Nearly every marketer dreams of doing business with one of these nations.
Tier 2: These nations are less well-off than Tier 1 and have less money to spend on leisure activities and other important things. There is less competition and cheaper CPCs as well.
Tier 3: Tier 3 countries are low-income developing countries. Residents earn pitiful wages and have little to no extra spending money. Because there are so few marketers running advertising in these nations, competition is very low; on the other hand, they are the most affordable places to advertise.
List of Tier 1 Countries of 2022
According to AdTagMacros, the nations listed below are in Tier 1. The GDP and median annual income figures in this article are expressed in U.S. dollars (USD).
With 25.20 million people, Australia is Oceania’s most populated nation. At $1.48 trillion, it is the 14th-largest economy in the world and the 55th-largest in terms of population. The typical yearly income in Australia is $54,910, making it the 14th highest globally.
Australia has an estimated population density of seven persons per square mile. Sydney, the country’s most populated city, is one of five, with populations above one million.
Central Europe’s largest country, Austria, has 8.96 million residents. It has a GDP of $481.68 billion, making it the world’s 97th-largest and 29th-richest nation. At $51,300 a year, Austria’s median income ranks 15th in the world.
With a metro population of 2.6 million, Vienna is Austria’s most populous city. 4,000 persons per square kilometer are the density of this city.
Belgium has 11.54 million people and is situated in western Europe. Belgium has a population density of 975.6 persons per square mile. The country’s capital is Brussels, which has a population of 1.175 million.
In Brussels, the population density rises to 7,075 persons per square kilometer. Belgian GDP is $553.78 billion, and the median household income is $47,350.
37.41 million people populate Canada, making it the 39th-largest nation in the world. Canada’s GDP is $1.83 trillion, making it the tenth-largest economy in the world, with a median income of $46,370. Because of the weather and the flow of commerce, it has been discovered that most Canadians reside near the U.S. border.
Toronto, Ontario, is Canada’s most populated city. Over six million individuals call Toronto home. There are just four persons per square kilometer in Canada, making it the least densely populated country.
Located in northern Europe, Denmark has around 5.77 million people. Eighty-eight percent of the country’s people live in or near major cities. Copenhagen is the biggest city in the region, home to 1.2 million people in the city itself and 1,99 million people in the metropolitan area.
With a GDP of $364.55 billion, Denmark ranks 39th among the world’s richest nations. The average household in Denmark has a salary of $63,240 per year.
The country of Finland is situated in northern Europe and has a population of 5.53 million people. There are barely 39 persons per square mile in the area. 85% of Finland’s population lives in or near one of the country’s main cities.
Helsinki is the most populous city in Finland, with 625,000. There are 289.24 billion dollars in GDP in Finland, and the median income is $49,580.
France has a total population of 65.13 million people, including its various overseas territories. In terms of population, it comes in at number 22. Paris is France’s most populous city and the country’s capital.
It has a total population of 2.24 million people and a population density of 21,000 persons per square kilometer of its territory. As of 2013, France’s GDP was $2.78 trillion, and its average income was $42,400.
With an estimated 83.52 million people, Germany is the second-most populous country in the world. As a result, Germany is now the E.U.’s biggest and most populated nation. Berlin, Hamburg, Munich, and Cologne have the greatest populations in Germany.
Over one million people live in each city. On a worldwide scale, Germany has the fourth-highest GDP at $4.16 trillion and a median income of $48,520 per person.
Current United Nations population estimates put Ireland’s inhabitants at 4.88 million. The island has a population density of 147 persons per square mile. Ireland’s capital, Dublin, is the country’s most populous metropolis, with about 2 million.
A GDP of $405.19 billion places Ireland 122nd in the world in terms of population density and 32nd in terms of GDP. The average salary in Ireland is $62,210.
According to the United Nations, it is estimated that Italy’s population is 60.55 million. Italy is Europe’s fourth-largest nation by population and the world’s 23rd-largest country overall. Half of Italy’s population lives in the Po Valley, the country’s most densely populated area.
Rome is Italy’s most populous city in terms of population, with 2.8 million residents. There is $2.07 trillion in GDP in Italy, while the country’s median income is $34,460.
The population of Luxembourg, one of the world’s smallest nations, is 619,299 people. There are 537 individuals per square mile in the area. There are three major cities in Luxembourg, each having between 10,000 and 100,000 people.
Luxembourg is the country’s biggest city. At $73.69 billion, Luxembourg has the world’s 71st-highest GDP, but its median income is the sixth-highest at $73,910.
17.10 million people call the Netherlands home, making it the 62nd-largest nation in the world. The city of Amsterdam has a population of 7 million people and is the country’s capital.
The Netherlands has a population density of 511.48 people per square kilometer (491 people per square mile). Its GDP is $954.93 billion, and the median household income is $53,200.
New Zealand’s population is estimated at 4.78 million. According to some estimates, the island has a population density of 47 persons per square mile. The population density of New Zealand is 166th in the world.
The biggest city is Auckland, with 1.45 million people residing in the region. New Zealand’s GDP ranks 52nd internationally at $224.94 billion, and its median income is $42,670.
The United Nations estimates the population of Norway at 5.38 million people. It is an urban nation with most people living in or near big cities. Oslo is Norway’s capital and a densely populated city, home to 580,000 inhabitants.
The GDP of Norway is $438.62 billion, ranking it 31st in the world. At $82,500, it has the world’s fifth-highest median income.
The population of Spain is 46.74 million. It is the 30th most populated nation in the world, with a GDP of $1.50 trillion, and the 13th-largest in the globe. According to census data, 229 persons per square mile on average in the United States.
The population of Madrid is 6,155,116, making it the country’s most populous metropolis. There are fewer people in rural parts of Spain than in the metropolis, but the cities’ population density is much greater. At $30,390, the median household income in Spain is much above the world average.
Sweden has a population of 10.04 million, making it the third-largest E.U. nation. With a GDP of $576.72 billion, it is the world’s 23rd richest nation and the 91st most populated.
Its average income is $55,840. Stockholm, Sweden’s capital and biggest metropolis, is the country’s most populous city. Stockholm has a reported population of 2.35 million people.
To put it another way, it is the 100th most populated nation globally, with a population of 6.83 million people. Zürich is Switzerland’s most populous city, with a municipal population of 435,000 and a metropolitan population of nearly 1.83 million.
Switzerland’s financial sector is one of the most competitive in the world. As of 2013, Switzerland’s GDP was $740.70 billion, which is the 20th-highest globally, and its median income was $85,500.
The population of the United Kingdom was 67.53 million in 2019. Wales, Scotland, England, and Northern Ireland make up the four regions of the United Kingdom. In terms of population, it is the twenty-ninth-largest nation globally and grows at a pace of 0.61 percent per year.
The population of London, the United Kingdom’s capital, is 8,136,000 people. As of 2013, the United Kingdom’s GDP was $2.83 trillion, making it the fifth-largest economy.
Also See: Tax-Free Countries 2022
329.45 million inhabitants in the United States, making it the most populous Tier 1 country. It is the world’s third-largest city in terms of population. With 39.5 million residents, California is the state with the most inhabitants.
With a population of 8.4 million, New York City is the largest city in the United States. With a GDP of $22.2 trillion and a median yearly income of $65,760, the United States is the wealthiest country in the world.