Global Advertisement Growth – Global Digital Advertising
You must be aware that there has been tremendous growth in global advertising. Since 2011 across a globe there has been a shift in the advertising business. Slowly, but gradually the traditional form of media has been facing a heavy competition with digital advertising. Due to the recent changes in the advertising industry, the global digital advertising has seen a huge boom and a steady growth.
India has seen improvement in the marketing field. However, Indian companies are yet to compete on the global front. Here, in this article on “Global Advertisement Growth – Global Digital Advertising” shall give you an idea how companies based in the United States have been dominating the global advertising business.
Well, you must be guessing which companies could be on the list?
The list is pretty evident and expected at the same time.
Guess these two companies, whose product or service we use daily!
It had to be Google and Facebook. Google is the most valued media owner. While it is followed by Facebook.
And, these first two companies accounted for 20% of global advertising expenditure across all media in 2016.
Even if you guessed it or not, the answer had to be Google and Facebook together.
In 2012, Google and Facebook together accounted an increase of 11% in the global advertising business. And, these two companies share major digital advertising business revenue share in 2016 as well.
Zenith’s Top Thirty Global Media Owners Report
According to the new edition of Zenith’s Top Thirty Global Media Owners, there are two companies captured 64% of all the growth in global ad spend between 2012 and 2016. You can observe clear dominance by Google and Facebook. Since the time, Google and Facebook launched their advertisement features some years back, there has been a drastic change in the advertising field.
Facebook Advertising and Google Advertising have been prominent over these years. It has boosted to the digital marketing industry. Google and Facebook Advertising has played a major role in promoting small and medium-sized businesses as well.
It is essential to know more about the Top Thirty Global Media Owners report is Zenith’s unique ranking of the world’s largest media companies. Since 2007, Zenith has been proposing this report on global media owners. The ROI agency has its own methodology of research and considers various media houses for the list.
According to Zenith’s List, Alphabet, the holding company of Google is the largest media owner in the world. Google offers various forms of advertising including search and YouTube. Search Engine Marketing has been a very famous term aligned with Google.
You would be astonished to know how much Google earns through advertising business.
The answer is US$ 79.4 billion.
Google earns 3 times more than the second-largest media house Facebook.
Google attracts US$ 79.4 billion in revenue in 2016. While Facebook earns around US$26.9 billion, it has a long way to chase Google in the global digital advertising business.
Two major digital hubs have been dominating the entire advertising industry. For a fact, the largest traditional media owner is Comcast. Comcast generates the third largest revenue globally with US$12.9 billion through ads.
It is obvious from the recent trends that, internet advertising has overtaken television to become the world’s largest advertising medium in 2017. Many internet advertising and digital advertising platforms have dominated the Zenith’s top 30 list. Here, is a list of top 30 companies which have dominated the global advertising business.
These 7 companies viz. Google, Facebook, Baidu, Microsoft, Yahoo, Verizon and Twitter together account to US$132.8 billion in internet ad revenue for the year 2016.
These companies contribute to 73% of Internet Ad Spend and 24% of global Ad spend across all media.
For a surprise, Twitter has been the fastest growing media owner. Twitter was involved in controversies for not upgrading their advertisement business. Furthermore, the company also re-listed themselves as a news-based company. Yet, Twitter managed to increase its ad revenues by 734% between 2012 and 2016.
Twitter Ads are considered to be costlier in comparison with Facebook. However, certain digital marketers opt for targeting on Facebook. Advertising on Facebook is simpler than Twitter.
Most of the media owners in the ranking list i.e. 20 out of 30 – are based in the United States. You ought to know why the United States is dominating the list.
The United States of America dominates for several reasons. It has the largest ad market in the world. Media companies from the United States have invested the most in extending their reach abroad. Also, Silicon Valley innovation has powered the growth of internet advertising.
Apart from the United States, 3 media owners in China and Germany and 1 each from France, Italy, Brazil and UK have been into the top 30 list. You would be wondering, why is China in that list?
China-based media house Baidu is very famous in the homeland of China. Chinese people are particular, peculiar and patriotic in nature. Chinese media owners and Chinese tech giants have been working hard on promoting Chinese items in their own country.
Hence, the US media houses face competition in China. However, the US-based digital platforms are famous in various other parts of the world.
According to Zenith’s forecasting head:
“Google and Facebook alone have accounted for almost two-thirds of global ad spend growth since 2012.”
You read a lot about media owners and the revenue they generated. Most noteworthy learning from this article is to know – how huge Google and Facebook are. They dominate the advertising industry. You should get an insight about Facebook Advertising. Get acquainted with our basic article on Facebook Advertising.