Google takes the lead for display ads

Posted on September 28, 2012

 

According to research carried out by EMarketer, Google will get more revenue than Facebook for display advertising this year. The other competitors for advertising will be beaten by Google, which is expected to take a 15.4 per cent share of the ads market in the US.

Online display ads are expected to make $2.31 billion for Google, according to the research company. Google’s revenue is made up mostly from the sale of display advertisements, which earn more than the advertisements which are text based, appearing alongside search results. EMarketer, based in New York also predicts that Facebook’s share of the display ads market will be 14.4 per cent with $2.16 billion in revenues this year.

The predictions have changed since February this year, when the research company thought that Facebook would maintain its lead over Google. However, prior to Facebook’s initial public offering its display ads failed to maintain the expected precedent. Google has a strong network of advertising, YouTube video ads and the mobile advertising service AdMob, which it purchased in 2010.

The market for display ads is expected to increase this year, with growth of 21.5 per cent to almost $15 billion in the United States, with Google and Facebook being major players. EMarketer predicts that 37 per cent of the display ads market will be held by Facebook and Google by 2014, creating difficulties for smaller competitors.

Facebook and Google are both crucial components of a company’s SEO strategy, with display ads playing a role in search engine optimisation.

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