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Google to overtake Facebook's display ad revenues by 2013

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MUMBAI: According to digital marketing and media research firm eMarketer, Facebook trounced Google in 2011 with 14 per cent of total US online display ad revenues compared to the latter‘s 13.8 per cent.

However, analysts predict that Facebook‘s nominal dominance will continue through the end of 2012 but by 2013 Google‘s share of the display ad market will shoot ahead to nearly 20 per cent. Though Facebook‘s share will continue to rise, it will happen more slowly thus causing it to slip from the top slot.

According to emarketer, Yahoo! and AOL will suffer ever declining shares of the US display ad market while Microsoft will manage to hold on to its relatively small slice.

Displaying increasing consolidation in the US display ad market, 54.4 per cent of all online display dollars in the country will go to one of the top five sites up from 47.4 per cent in 2011.

Facebook and Google have not only the highest display ad revenues during the forecast period but the highest growth rates as well. Facebook‘s US display revenues shot up nearly 52 per cent in 2011 to reach $1.73 billion and will grow by nearly the same rate in 2012 to $2.58 billion.

Google grew in 2011 at 41.9 per cent and is predicted to chart a growth at 48.5 per cent in 2012. By 2013 and 2014 while Facebook‘s growth rate is predicted to taper, Google will maintain significantly higher rate of growth propelling itself to the top of the display ad revenue rankings.

It is estimated that by 2014 US display revenues at Google will reach $4.76 billion compared with $3.75 billion at Facebook while their closest competitor Yahoo! will command $1.64 billion.

Out of a total $21.91 billion in US display ad revenues almost $12 billion will go to the top five sites.

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