Friday, March 27, 2015

U.S. Digital Display Ad Spend Shifting Toward Facebook and Twitter

No surprise here, a new research from eMarketer shows that Facebook and Twitter are growing their share of the digital display ad  revenues in the US.  With their dominance in mobile based applications, Facebook and Twitter are growing at the expenses of Yahoo and Google.  Lots of good stats about the market share of digital display here.  It will be interesting to see how Google and Yahoo respond in the coming years.

New research from eMarketer shows that Facebook and Twitter together will account for approximately 34 percent of U.S. digital display ad revenues by 2017, while Google and Yahoo’s share will decline.
Facebook and Twitter combined will represent approximately one-third (34 percent) of U.S. digital display ad revenues by 2017, while Google and Yahoo's share will dip, according to eMarketer. The shifting numbers show that marketers are putting more of their ad spend toward the social networks, perhaps in an effort to reach much-desired younger demographics.
The new research predicts that U.S. digital display ad expenditure will reach $37.36 billion in 2017, up nearly 38 percent from 2015. Facebook will take around 27 percent of the pool, compared to 25.2 percent in 2015.
Meanwhile, Twitter will surpass Yahoo in total U.S. digital display ad revenues for the first time in 2015, and its market share will increase from 5 percent to 6.8 percent in 2017, reaching $2.54 billion, estimateseMarketer.
emarketer-usdigitaldisplayadspend-2017
But while Facebook and Twitter are seeing a robust growth in display advertising, Google and Yahoo are falling behind.
Throughout the forecast period, Google will maintain the second place behind Facebook, but its market share will drop from 13 percent this year to 11 percent in 2017. During the same period, Yahoo's share will decline from 4.6 percent to 3.5 percent, according to the research.
Both Facebook's and Twitter's gains are driven by mobile, says eMarketer. The company projects that for the first time this year, mobile ($14.67 billion) will surpass desktop ($12.38 billion) in U.S. digital display ad expenditure.
And by 2017, according to the research, Facebook's U.S. mobile ad revenues will reach around $7.53 billion, a more than 50 percent jump from this year. By then, Twitter and Google will be neck and neck, as the social platform's U.S. mobile ad revenues will double, reaching $2.29 billion.

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