Where do digital advertisers go? Which ad delivers the best ROI? For Google and Facebook of course.
A survey of leading digital advertisers from financial services company in December 2017 showed that Google’s search for ROI was the highest priority. Nearly half of respondents said the Google platform offers the best return on investment. Facebook was nominated second by 30% of respondents.
Google and Facebook have improved their positions over the past year. In 2016, the survey found that 32% of top advertising buyers thought Google Search had the best ROI, while 27% chose Facebook.
In 2017, no other ad platform scored double-digit percentages among ad buyers. Only 8% of respondents believe that Ad Exchange and networks get the best return on investment, while Instagram and YouTube are only 4% of buyers.
These answers are based on the dominant position that Google and Facebook should take in the digital advertising landscape.
We estimate that by 2018, Google and Facebook will account for more than 65% of digital ad revenues.
Only Google will generate $ 40.08 billion in advertising revenue this year, while Facebook is expected to generate $ 21.57 billion.
Advertisers demand more granularity in the targeting capabilities to reach customers. Google and Facebook have positioned themselves as the publisher with some of the best targeting features in the digital advertising market at the top of this demand curve.