Digital Advertising Formats - Statistics & Facts

Online advertising spending is expected to exceed 46 million in the United States and 126 billion U.S. dollars worldwide in 2013. If this forecast is correct, U.S. expenditure will make up more than one third of total global spending and the country will maintain its position as the largest online advertising market worldwide.

At 4.14 billion, online video will account for nearly ten percent of total U.S. internet ad spending. Video ads are growing in significance – nearly 23 percent of the time that Americans spend watching online video is spent watching video ads. Advertisers have reacted accordingly– as of October 2012 nearly a quarter of all brands had used this type of advertising. Moreover, luxury marketers believe that online video ads are more effective than TV ads at building brand favorability, driving online sales and also driving traffic to brick and mortar stores.

Display advertising is expected to generate over 16 billion dollars revenue in the U.S. and nearly 40 billion worldwide. According to the IDC, real time bidding will be responsible for 3.56 billion, or close to a quarter of the total U.S. display ad spend. Amongst ad sellers, Google and Facebook will remain the largest winners, with 3.19 and 2.68 billion dollars revenue generated respectively from selling display ads.

Paid search is projected to generate 19.8 billion U.S. dollars revenue in the U.S. and 48.8 billion globally. Even though the figures are higher than both video and display ad spending, marketers are still struggling to harness search as a marketing tool. Among the top search marketing challenges, the key issues named included integrating it into the marketing mix, understanding new search engine developments and measuring its impact on business. Google is by far the biggest earner in this category, holding 83 percent of the user click volume, while Yahoo! and Bing only represent 17 percent of the market together.

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Digital advertising formats in the U.S. - Important statistics

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