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Digital ad revenue to reach $500 billion globally next year
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Digital ad revenue to reach $500 billion globally next year
Many technology historians consider 1994 the birth of digital advertising when the first banner ad appeared on HotWired.com. Since then, the industry has become one of the largest revenuegenerating industries globally, and is set to cross a significant milestone in 2022. According to data from Statista presented by UK-based Wette.de Editor Rex Pascual, Digital advertising revenue worldwide is projected to reach $463.81 billion in 2021 and reach $500 billion some time in 2022. Digital advertising can be summarized as the use of the Internet to deliver promotional messages through a variety of online media. The industry is also projected to reach over $632 billion by the end of 2025. “Digital Advertising is a behemoth of an industry despite its relative infancy,” said Pascual. “There’s almost a limitless ceiling when it comes to growth opportunities for an industry powered by constant innovation. The industry is expected to double its global revenue in less than 5 years – a testament to the exciting future that lies ahead.” Video is the fastest growing. Digital advertising can take various forms including search, video, banner and classified advertising. Search advertising currently accounts for the largest share of digital advertising’s total revenue – an estimated $182 billion. Banner advertising is next generating almost $170 billion, followed by video advertising and classifieds. However, video advertising is currently the fastest growing, now experiencing 19.7% year-over-year growth. Search advertising is next at 16%, with banner advertising at 11.4%. Furthermore, experts predict video advertising to continue to grow the fastest rate among these segments. Digital advertising can also be segmented depending on the device it’s being delivered on – mobile or desktop. So far in 2021, digital advertising on mobile devices holds a 60% share of revenue after first surpassing of the 50% level in 2018.
