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  • Vijesti

    Wüsthof Sharp Systemic Brand Identity with Gigodesign wins Red Dot Award

    How to win a Grand Prix in Cannes?

    The best of Latvian and Estonian advertising

    Enjoy the summer with Cinedays Film Factor 20

    Lokomotiva and SentecaCommerce signed a partnership for 12 European markets

    Virtual Drumming with Fernando Machado, Karolina Galácz, and Thomas Kolster

  • Tema sedmice
    daljinski-naslovnica

    Television Audience Measurement: In Serbia, the media are in a race to the bottom for every extra “click”, while in Croatia HTV has undermined the principle of joint monitoring

    This global pandemic, coronavirus, cuts across all geographical borders regardless of cultures and language. What is the role of Public relations today?

    Slaven Fischer: Creativity doesn’t reside in buildings but in people, no matter where they are. It’s natural for people to work from home.

    Janja Božič Marolt: As in every crisis, there will be a lot of victims and some winners in the communications industry of the region.

    Shortcutting Video: New Study Highlights the Effectiveness of 2-second Ads

    Topic of the Day: Can artificial intelligence replace human intelligence and emotions. Is technology a servant or a master?

  • Intervju

    Miranda Mladin: Keeping consumers’ attention is every brand’s biggest challenge

    Nataša Mitrović: I understood that the Balkans should be my primary target area and that, once I had become a shark in the Balkans, then I could make my way “back” into the big world and swim in the sea with the other sharks.

    Ivan Stanković: I admit to having great fun and enjoying myself enormously working on my show, What I am to you and who I am to myself.

    Scott-Gould-naslovnica

    Scot Gould: Stop doing anything that you do that isn’t valuable, tell everyone about that offering, and don’t stop!

    lazar-naslovnica

    Lazar Džamić: We are experts at preferring the byways, swamps, and chasms, so that we can keep on going in circles, lost in space

    Irena-naslovna

    Irena Kurtanjek: Contributing to the Communities in which we Operate is the Foundation of Nestlé’s Business

  • Kolumna

    Sponsors? What that?

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    Do Brands Always Need to Sell Aggressively to Grow?

    Price of Hate

    The Advertising Industry: From Alchemists to Distributors and Back Again

    Milena Garfield: It’s not long since I said: If it ain’t live, it’s dead

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    Diary of a Methuselah #176 Will our industry come out of this better and smarter?

    Diary of a Methuselah #159: Ivo Pogorelić and Zoran Todorović weren’t attractive enough for sponsors in Sarajevo

    Diary of a Methuselah #157: The Young Leaders of Tomorrow, a great event for young people who are ready to assume responsibility for the future of industry

    Diary of a Methuselah #156: I’ve been writing my Diary for three years now, and I don’t think I wrote anything smart

    Diary of a Methuselah #154: Three days at the PRO.PR Conference

    Diary of a Methuselah #153: Portal Media Marketing starts a new life today

  • Mladi lideri

    Mladi liderji – Uroš Zorčič, New Moment Ljubljana: Vedno gledam na dela sama in ne postavljam v ospredje posameznih ljudi ali agencij

    Mladi liderji – Saša Droftina, Luna \TBWA: Želela bi, da bi se spremenil odnos do pitchev

    Mladi Lideri Kristina Gregorc

    Mladi liderji – Kristina Gregorc, Mercator: Zelo sem optimistična in izjemno ponosna in vesela, da sem del tako velike in uspešne ekipe

    Mladi Lideri

    Mladi liderji – Maša Crnkovič, Futura DDB: Največji izziv je vpeljava podatkov in feedback-a uporabnikov v procese dela

    Young leaders – Aneta Nedimović, New Moment Belgrade: Articulating ideas and the value of those ideas is an art form and a skill

    Mladi liderji – Matjaž Muhič, ArnoldVuga: Želel bi več časa za razmislek, za delo, za raziskovanje

  • Tri pitanja

    Robert Wester: Strategic communications is at the top of the European Commission’s agenda

    Chris Pomeroy: Tourism in 2019 accounted for 1 in 10 jobs on the planet and until now it was resilient to all manner of crisis

    Andrey Barannikov: The role of PR in Russia is changing and becoming more strategically important both for brands and communication agencies

    francis-ingram-naslovnica

    Three questions for Francis Ingham, Managing Director of the Public Relations and Communications Association (PRCA) & Chief Executive of the International Communications Consultancy Organization (ICCO)

    3 questions for Svetlana Stavreva, President of the International PR association (IPRA): Today, people are demanding that organizations do what they promised

    Three questions for Petra Krulc, Senior Vice President of Celtra

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Home News

Google & Facebook duopoly still pushing strong, pulling away money from other players

The duo will make $176bn from advertising this year, pushing their share of internet marketing to over 60%

13/04/2019
in News
3 min read
Google & Facebook duopoly still pushing strong, pulling away money from other players

Drugi jezik na kojem je dostupan ovaj članak: Bosnian

WARC has found that of the $590.4bn spent on advertising worldwide last year, $144.6bn (24.5%) went to the Google and Facebook ‘Duopoly’, which equates to almost one in four dollars.

The duopoly’s adspend share is up from 20.3% in 2017 and is more than double the 10.8% recorded in 2014. WARC predicts a further increase to 28.6% ($176.4bn) this year.

Looking only at the internet advertising market, the duopoly took over half (56.4%) of ad money in 2018, a share which WARC expects to rise to 61.4% this year. This growth is squeezing other online media owners, as the pool of ad money available to them is now in decline for the first time, down 0.7% to $111.0bn.

James McDonald, Data Editor, WARC, and author of the research, comments: “One of the main reasons for the duopoly’s success is their creation, and subsequent ownership, of the digital formats perceived to be most effective by adland’s decision makers: paid search and social. Several surveys in the past year have shown search and social to be highly regarded by advertisers in terms of meeting campaign objectives. Google dominates the search engine market, handling almost all mobile searches worldwide and nine in ten on desktops. Meanwhile, ad buyers can target Facebook’s 1.48bn daily users by leveraging a rich cache of personal data. Beyond major brands, the accessibility of the duopoly’s ad buying tools has attracted a long tail of small- and micro-advertisers, creating a competitive advantage which has been core to revenue growth.”

Google & Facebook duopoly still pushing strong, pulling away money from other players 1

Against this backdrop, WARC’s research on the duopoly highlights three key trends:

Google and Facebook are directly competing for video dominance

The value of the online video market across WARC’s 12 key markets – Australia, Brazil, Canada, China, France, Germany, India, Italy, Japan, Russia, UK, US – is $30.2bn, which equates to 21.5% of linear TV, and is growing rapidly. Much of this money is spent on social media sites, including Facebook and YouTube (e.g. 86%, or £1.9bn in the UK).

Both Google and Facebook hope to unlock brand budgets while also controlling the trade of targeted performance advertising. Regulation appears to be the principle threat to the duopoly’s growth, which currently shows no sign of a significant slowdown.

Google is battling Amazon on two fronts to defend its search market dominance

Google handles 63,000 search queries per second – or two trillion in an average year – but its dominance of the paid search market may soon come under threat from Amazon. The e-commerce giant is developing its own search business, looking to pair advertisers with consumers close to the point of purchase.

Whilst WARC expects Amazon to make $13.9bn from advertising this year (compared to Google’s $107.4bn), its ad business is growing much faster than Google’s, with 69% of marketers in a recent WARC survey stating that they intend to up their ad investment on Amazon this year.

Younger Americans are leaving Facebook’s core platform for Instagram

Instagram is now the main driver of daily user growth for Facebook, with estimates suggesting that as many as 15m US users have left Facebook’s core platform since 2017.

Instagram’s rise in popularity hasn’t gone unnoticed by marketers, with Instagram recording a net budget increase (the number of practitioners intending to increase budgets minus the number intending to decrease) of 67% in a recent WARC survey, ahead of Amazon on 63%, YouTube on 60%, and Facebook on just 13%.

Facebook is responding by pivoting to an encrypted messaging service to regain consumer trust, and to build a secure environment for online payments. The company spent $1.1bn on advertising worldwide last year in the wake of the Cambridge Analytica scandal.

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