Advertising Firms Suffer As Google, Facebook Dominate Global Ad Revenue Charts

The dominance of Google and Facebook of digital ad has led to the number of independent and smaller ad tech companies falling 21 per cent since 2013 to 185 in the 2nd quarter of 2018, the media reported.

According to a study in The New York Times on Sunday, venture capital coin going into advertizing-tech starting time-ups is falling sharply. "Online advertising companies accept struggled for several years every bit Google and Facebook solidified their grip on digital dollars, slowing revenue for the others," added the report, citing global marketing research firms including LUMA Partners.

Advertising Firms Suffer As Google, Facebook Dominate Global Ad Revenue Charts While spending for online ads was more $88 billion last year, over 90 per cent of that went to Google or Facebook."Amazon is also making inroads into advertizing, with a new advertising arm, raising the possibility that it will become a meridian competitor," said the report. The visitor generated $ii.2 billion in revenue from its advertizing business concern in the second quarter this year.

While Facebook had been predicting its advertising revenue to decelerate in 2017, it actually saw a potent growth of 48.8 per cent. Co-ordinate to a recent Forrester report, brands volition invest 55 per cent more than in digital marketing by 2023. "Search engines such as Google will lose some of their appeal for shopping equally Amazon and other retail websites gain favour and advertiser dollars over the next few years," said Forrester.

The motility signifies a shift in the style consumer shopping habits proceed to change equally they are headed toward Amazon and retail websites for shopping and toward Google and Bing for answers to questions. "The shift gives Amazon a reason to strengthen its search features — text and vox — for organic traffic, every bit well as its search advertising platform," said the written report.