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15 Amazing Facts about Online Advertising

If you are one of the millions of small businesses that hasn’t yet begun taking advantage of the relatively low price and high rate of return with online advertising, you might be interested in the following facts.  Companies who are using online advertising in 2014 will almost certainly see huge benefits compared to ‘traditional’ advertising options such as radio, television, and print ads.

If you or your business still hasn’t decided whether or not to invest significantly into online advertising, the following stats might help make the decision a little easier:

  1. An advertisement on YouTube’s home page costs around $400,000.  This ad will typically receive 60 million views from 23 million unique users.  Every day.  A well scripted ad can also be shared across social networks and websites, expanding the reach of the ad dramatically, without any additional investment.
  2. In one month, YouTube gets about 10 times the viewers that the super bowl receives.  Videos on YouTube aren’t limited to 30 seconds, like a Super Bowl ad spot typically is.  Of course, it is also far cheaper to make and post a YouTube ad than it is to advertise on the Super Bowl.
  3. Twitter Ad revenue is dominated by mobile devices, including smart phones and tablets.  These devices make up 65% of the total ad revenue.
  4. 87% of Twitter’s total revenue comes from advertising.
  5. Google AdWords has grown 22% in 2013.
  6. Google has over 1.2 million businesses advertising on its search network as of fall of 2012.  This number continues to grow year over year.
  7. Google’s AdSense network currently has over 2 million publishers (earning over $7 billion in 2012).
  8. The average click through rate for a typical Google ad is 3.16%.
  9. 33% of all online ad revenue goes to Google (38.6 billion out of 117.6 billion).
  10. Facebook takes in just 5% of the total online ad revenue.
  11. About 95% of all Google revenue is generated through advertising.
  12. Walmart estimates that they are earning about a 1000% higher ROI through social media ads than traditional ad campaigns.
  13. The average ROI for Facebook ads increased 152% from 2012 to 2013.
  14. A recent study of more than 200 billion ads on Facebook found that when it comes to mobile ads, the iPhone generates 1,790% more ROI than android devices.
  15. Retailers who use Facebook ads had their click through rate grow by 375% over the past year.

These are some incredible statistics, and show just how powerful online advertising can be.  Many of these statistics are focused on the major advertising networks like Facebook and Google, but there are many others which have been shown to be very powerful as well.  Any company that is not yet at least experimenting with online advertising will find that they are losing out on significant opportunities going forward.

Pesach Lattin
Pesach Lattin
Pesach "Pace" Lattin is one of the top experts in interactive advertising, affiliate marketing. Pesach Lattin is known for his dedication to ethics in marketing, and focus on compliance and fraud in the industry, and has written numerous articles for publications from MediaPost, ClickZ, ADOTAS and his own blogs.

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