A recent news report issued by eMarketer has suggested that the social network is eating into the search engine giant’s share.
The size of the global mobile marketing share from Facebook, which had been just over $3 billion, last year, is now maintaining a steady climb and is expected to start to cut into the share that had previously been held by Google, said eMarketer in a report that it issued in recent news.
Combined, Google and Facebook make up more than 66 percent of the global mobile ad spend.
That figure is as of 2013, the latest complete year of data. That increased by more than double to reach $17.96 billion, when compared to the same statistic for 2012. At the same time, eMarketer’s mobile marketing report was quick to point out that “Google still owns a plurality of the mobile advertising market worldwide, taking a portion of nearly 50 per cent in 2013, but the rapid growth of Facebook will cause the search giant’s share to drop to 46.8 per cent in 2014, eMarketer estimates.”
Mobile marketing revenue at Facebook was worth 53 percent of Facebook’s overall ad revenue in Q4 2013.
This was a massive rise when compared to the year before. In fact, the portion of the mobile ad revenue rose by 23 percent from where it had been in the same quarter in 2012. Revenue from advertising, overall, had been 2.34 billion in the last quarter of last year.
The report pointed out that the size of the market share at Facebook in particular is getting larger. In 2012, it represented only 5.4 percent of the worldwide ad market. Last year, that had risen tremendously, to bring it to 17.5 percent of the global advertising market. The prediction that the report made for this year was that it will reach 21.7 percent by the time that it comes to a close.
The speed with which smartphone based advertising has taken over the ad revenue for the social network is indicative of its future. In 2012, only 11 percent of the net global ad revenues at Facebook were over the mobile marketing channel. Last year, that ballooned to 45.1 percent.
This prediction has been made specifically about the U.K. industry by eMarketer.
Newly released research from eMarketer has forecasted that mobile marketing ad spending will break the £2 billion mark this year, and will have reached £9 billion by 2017 across all digital media.
This will have the channel overtaking the revenue from newspaper ads for the first time, this year.
This will be a considerable increase in the total digital media advertising spending, which had reached £6.3 billion, last year (that is, a share of 44.3 percent of the market), to reach £7.1 billion, this year (which will mean a share of 47.5 percent of the market), according to the mobile marketing data released by eMarketer.
The figures estimate that mobile marketing will eat into newspaper advertising quite a bit.
The estimated figures from the firm suggested that national and regional newspaper advertising will drop from having been £2.2 billion last year (a share of 15.3 percent of the market), to £2.1 billion, this year (for a share of 13.8 percent of the market). This will represent that sharpest market share loss across all of the various categories of media between last year and this year.
Newspapers will be taking a place behind mobile ad spending in the United Kingdom, for the first time, says eMarketer. The amount being spent for advertising to smartphone and tablet customers will rise from last year’s £1.9 billion to a much higher £2.3 billion, this year. It was also predicted that by 2017, the figure for newspaper ad spending in the U.K. will have dropped to only £1.9 billion (11.2 percent share of the market).
Equally, while mobile marketing takes off, television advertising is also expected to rise from £3.6 billion to £3.7 billion from 2013 and 2014, although its share of the market will slip just a little bit from last year’s 25.6 percent to 24.7 percent this year. eMarketer feels that when it comes to the amount of money being spent on digital channels will only continue its sharp increases from now through 2017. By that year, ad spending on digital will rise to £9 billion (a market share of 53.8 percent).
