Earlier this year, eMarketer, Marketing-Interactive, and CNBC all predicted that digital ad spend would surpass 50% of advertising dollars in the U.S. Turns out they were right.
Currently, according to MAGNA, digital ad spend in the U.S. will surpass 51%, 51.5% to be exact. That equates to about $160 billion dollars! That’s a lot of money!
Leading the digital ad spend is mobile advertising, making up about 2/3 of that dollar amount, a 30% increase year over year. Maybe that has to do with how advanced mobile advertising is getting, and how capable businesses are able to reach their potential market. With our Mobile Conquesting product, our clients are able to start their campaign targeting any geographic area they want, targeting potential customers based on behavioral categories or based off of their location. In addition, they also have the ability to geo-fence their competitors, giving them an opportunity to advertise directly to their competition’s customers while they are there. Clients also use our geo-retargeting product to continue to target individuals who have been to their competitors’ locations.
Joining mobile near the top of the list is social media and online video advertising, which both grew by 38 and 27 percent respectively. With Facebook’s tens of thousands of ways to target, their introduction of advertising in Messenger, their Audience Network, and their Custom Audience campaigns that they have the ability to run, Facebook is constantly reinventing itself to keep advertising fresh and new. Video advertising is continuing to gain momentum with the introduction of connected TV.
So, why does it matter how much money is being spent in digital? The answer is because for businesses that want to compete, be relevant, and grow, digital is a great place to be. Consumers are spending more and more time online every single day. When they’re online, they are going to see an ad for someone. Why not have that ad be yours?
