According to Reuters’ report, the money spent on online social media advertising will catch up with TV and newspaper by 2020.This forecast is based on the dynamic shift among people on how they get the majority get its news from smartphone and social media platforms nowadays.
Zenith Optimedia, an advertising agency owned by France Publicis predicts that by 2019 social media will make up 20pc of all internet advertising which will be around $50 billion, only 1pc less than newspapers. The company expects that social media advertising will take over newspaper ads by 2020.
social media advertising will take over newspaper & TV ads by 2020
A smartphone is now an everyday commodity, rather than a luxury that it once used to be. This growth is not limited to the said hardware of the smartphone but the internet penetration along with the gadget is also on the rise globally. The easy access to broadband and mobile internet has enabled the user to stay connected globally while on the move.
By 2019, online video advertising is set to be around $35.4 billion in total. This amount is not equal to television but sure presents a strong challenge for the brands who do not want to change with the new media dynamic. According to a media report by Zenith, 75pc internet usage will be mobile in 2017. It conforms to the global statistics that shows, out of 3.6 billion global internet users, 2.6 billion are coming online from mobile devices.
In “Mobile Advertising Forecasts” Zenith predicts that in 2018, 60pc of the global internet advertising dollars will be spent on mobile advertising. Around 53pc of global consumer relies on a smartphone thus, increasing its usage as compared to the computer. The tech giant Google has also noted that their dominant user base is using mobile phones to search the web. Using this information it is currently working towards ranking the mobile friendly sites higher than others through their algorithm.
The changing marketing scenario has already got companies and brands allocating considerable ad budget to the Internet and social media sites. The increased effectiveness of these platforms is making the traditional approach obsolete as people prefer the information from sites like Facebook, Google, Youtube and Snapchat. With the rapid change in advertising and the mediums for intake of information, it is not far-fetched to see a global change across the marketing world in the coming years.