Facebook now commands 7.5% of global digital spending

facebook

by Jennifer Chan

Facebook has reported a 53% year-on-year increase in quarterly revenue, 69% of which came from mobile advertising.

The social media giant has continued to pursue its digital ad strategy on top of a daily active user base of 890 million in Q4 of 2014. During the period, revenue from advertising was US$3.6 billion, a 58% increase from the same quarter last year.

This, according to eMarketer, accounted for a 7.75% share of all global digital ad revenues last year, an increase from 5.75% in 2013. Its share in the worldwide mobile ad market also increased by 16.6% to US$40.2 billion.

But even with the booming numbers, Facebook still far away from mobile ad leader Google, of which share of mobile accounted for 40.5% in world wide mobile ad revenue, despite a slight drop from 46.46% in 2013.

“The bigger Facebook gets, it cements its position as one of the most dominant players in digital media, and it has the size and reach to change the rules of digital advertising and convince others to play by them,” said eMarketer principal analyst Debra Aho Williamson.

To grab bigger share of the digital ad market, Facebook has been aggressively upgrading its ad tools and measurements to call an end to its click-based metrics that brings unclear ROI.

Most recently the social giant has given a lift to its measurement offerings with a new method to allow “conversion lift” measurement data from Facebook ads in an effort to more accurately measure the impact of Facebook ads exposure across different platforms.

According to consumer data collection firm Datalogix, 90% of people who saw a Facebook ad and purchased in-store never clicked on an ad at all.

By using lift measurement, advertisers can determine the incremental sales that the ad impressions caused to support marketing decisions.

Facebook advertisers from around the world can apply this measurement method to both online and offline sales. Click here to see the methodology.

China, represented by leading contributors Baidu and Alibaba, was the second-biggest contributor to the worldwide mobile ad market of US$40.20 billion last year.

emarketer

Alibaba’s share of the $40.2 billion worldwide mobile ad market accelerated from 1.6% to 6.2% last year; while Baidu almost doubled its mobile ad market share in 2014, rising from 2.6% in 2013 to 5.1%.

emarketer 2emarketer 3emarketer

Riding on the mobile offering expansions, Baidu and Alibaba respectively took 4.68% and 4.66% share of the worldwide digital ad market in 2014, a staggering 600% growth from the previous year, according to the research firm.

emarketer 4

Facebook has been upgrading its advertising and measurement tools to end to its click-based metrics that brings unclear ROI.

Most recently the social giant has given a lift to its measurement offerings with a new method to allow “conversion lift” measurement data from Facebook ads in an effort to more accurately measure the impact of Facebook ads exposure across different platforms.

According to consumer data collection firm Datalogix, 90% of people who saw a Facebook ad and purchased in-store never clicked on an ad at all.

 

via Marketing-Interactive.com

(Visited 33 times, 1 visits today)

Comments

comments