Global online advertising spending: Google dominates
Posted: Wed Dec 04, 2024 10:15 am
While advertising budgets have continued to rise in Switzerland, international savings are becoming more and more frequent. With YouTube and especially search, Google continues to dominate the global online advertising market. Overall, spending on online advertising continues to rise. In contrast, traditional media such as TV and especially print have seen their advertising budgets fall. Google is well positioned with its various platforms.
THISClassic platforms lose, spending on online advertising continues to rise
The current sales figures from Google and others confirm the trend of recent years. The Sunday Times had put this trend together nicely:
The global development of the advertising market experienced a turning point with the economic crisis in 2008. Since then, spending on print advertising has fallen significantly and is now only about as high as it was in the early 1980s. A similar fate befell TV advertising just a few years later. While global budgets for television advertising reached their absolute peak in 2014 at more than 220 billion US dollars, there was a decline in the following years to around 160 billion US dollars in 2020.
The situation is different with online advertising. Social media and Google search ads in particular have been recording new record highs. Google is therefore profiting particularly from search. Worldwide, Google is continuing to expand its leading position ahead of Facebook (Meta) and the Chinese provider Alibaba, as well as Amazon and Tencent. The companies Google, Meta and Amazon are likely to account for more than half of all global online advertising expenditure this year.
GoogleGoogle well positioned in online advertising
Analysts believe Google is well positioned given the current global uncertainties. It is expected that Google's dominance in global online advertising will continue in the coming years.
Google's search engine is still the undisputed market leader in most countries Armenia Phone Number Resource worldwide. Although there is increasing competition in the online sector, particularly among younger users, with new platforms such as TikTok and Instagram, it remains to be seen whether this will lead to a general change in user behavior. TikTok's advertising revenue is expected to grow by more than 40 percent in the coming year. That may sound like a high figure, but it is significantly below the expectations that prevailed some time ago.
For many users, search is still the most commonly used starting point for many sessions on the web. In addition, Google is also well positioned in the growing video streaming segment with YouTube, so a shift in user interests towards moving images on the web should not pose a threat to Google.
IconPotential threats to Google
However, Google is also constantly faced with potential risks and threats. These include various antitrust charges or proceedings, such as a current case against the company for its dominance in online advertising, which is being brought by 17 different states in the USA. Another case in the UK and the EU could cost Google 25 billion euros. This also involves antitrust allegations against the company in connection with digital advertising. However, none of this has deterred Google from its path in the past, and there is no indication that it will change anything about Google's dominance in online advertising.
THISClassic platforms lose, spending on online advertising continues to rise
The current sales figures from Google and others confirm the trend of recent years. The Sunday Times had put this trend together nicely:
The global development of the advertising market experienced a turning point with the economic crisis in 2008. Since then, spending on print advertising has fallen significantly and is now only about as high as it was in the early 1980s. A similar fate befell TV advertising just a few years later. While global budgets for television advertising reached their absolute peak in 2014 at more than 220 billion US dollars, there was a decline in the following years to around 160 billion US dollars in 2020.
The situation is different with online advertising. Social media and Google search ads in particular have been recording new record highs. Google is therefore profiting particularly from search. Worldwide, Google is continuing to expand its leading position ahead of Facebook (Meta) and the Chinese provider Alibaba, as well as Amazon and Tencent. The companies Google, Meta and Amazon are likely to account for more than half of all global online advertising expenditure this year.
GoogleGoogle well positioned in online advertising
Analysts believe Google is well positioned given the current global uncertainties. It is expected that Google's dominance in global online advertising will continue in the coming years.
Google's search engine is still the undisputed market leader in most countries Armenia Phone Number Resource worldwide. Although there is increasing competition in the online sector, particularly among younger users, with new platforms such as TikTok and Instagram, it remains to be seen whether this will lead to a general change in user behavior. TikTok's advertising revenue is expected to grow by more than 40 percent in the coming year. That may sound like a high figure, but it is significantly below the expectations that prevailed some time ago.
For many users, search is still the most commonly used starting point for many sessions on the web. In addition, Google is also well positioned in the growing video streaming segment with YouTube, so a shift in user interests towards moving images on the web should not pose a threat to Google.
IconPotential threats to Google
However, Google is also constantly faced with potential risks and threats. These include various antitrust charges or proceedings, such as a current case against the company for its dominance in online advertising, which is being brought by 17 different states in the USA. Another case in the UK and the EU could cost Google 25 billion euros. This also involves antitrust allegations against the company in connection with digital advertising. However, none of this has deterred Google from its path in the past, and there is no indication that it will change anything about Google's dominance in online advertising.