The Future of Search Ads
A recent report from eMarketer about the future of search ads has provided some interesting predictions. The report looks into the coming ad revenues by company in the US market as well as total upcoming ad spend compared to percentage digital ad spend.
Companies with the Highest Shares of Search Ads
Unsurprisingly, Google tops this list. In 2018, it held 73.4 percent of the Search Ad market, a number which eMarketer expects to drop to 70.5 percent by 2021. Other companies that appear on the list include Amazon, Microsoft, and Verizon Media Group. Amazon is the only company on the chart Marketer expects to grow over the coming years.
Increase in Ad Spending
The report predicts that the US will spend more and more money on search ads in the next few years. Spending will jump from $55.17 billion in 2019 to a staggering $86.08 billion in 2023. Meanwhile, eMarketer expects the percentage of total digital ad spending devoted to search ads to remain at around 43 percent. The rate of growth is expected to slow over the years, and search ads are expected to grow at the same rate.
What Does This Mean?
This report means that the search ad market is going to get bigger, as is the digital advertising world as a whole. It also means that the ad world is getting more varied, even if by a small margin. With Google holding slightly less of the search ad market share, there might be room for competitors to rise up. This is why diversifying your advertising investments is always a good idea.