22 Apr Analyst: Digital Ad Revenue Growing At A ‘Stupendous’ Rate
To put it most concisely, digital ad revenue has grown with unstoppable force for the last six years, set a new record last year and this one, and actually is showing signs that supply hasn’t caught up to demand, Ad Age reported.
“Six consecutive years of unabated growth, coupled with the fact the industry has now been measuring revenue for 20 years, I think this is pretty stupendous,” said Sherrill Mane, senior VP of research, analytics and measurement at the IAB. “The fact viewability and combating ad fraud has reduced supply, but revenue and pricing is growing, means there is a higher demand for higher-priced inventory.”
The numbers only matter in context, of course, but we’re talking about $59.6 billion in ad revenue in 2015, which was up 20 percent over 2014. Mobile rose a whopping 66 percent over 2014, accounting for $20.7 billion in revenue, while social grew by 55 percent, to $10.9 billion.
That is many, many billions.
Revenue from display advertising, such as banners, is an area for potential growth this year, analysts say.
Given the high prices commanded by video, display-related advertising overall might do a lot to fuel digital’s future growth. “Display-related advertising is continuing to grow on both mobile and desktop,” he said. “It is far from a flat category.”
So get your orders in now, folks.