Online advertising has become the effective tool for companies these days. Presence on social networking sites and advertising through them is one of the popular way of online advertising. This is considered to focus the targeted audience throughout the world. eMarketer, which is involved in publishing data, analysis and insights on digital marketing, media and commerce, estimates the social networks' share of online ad spending. Facebook occupies the top position among the many social networking sites in reaping the benefits of online ad spends.
In the United States, online ad revenues from social networking sites were $1.44 billion in 2009. They increased to $2.00 billion in 2010 with a percentage growth of 38.7%. In 2011, they reached $2.72 billion with a percentage growth of 37.3%. The social networking ad revenues in the US are estimated to increase further in coming years. eMarketer estimates that they will reach $3.9 billion by 2012 and $4.81 billion by 2013.
Also, facebook ad revenues in the United States are found to increase from 2009 and are also estimated to grow further in future. In 2009, facebook share of total US online ad spending constituted $0.56 billion when the total US online ad spending in the year was $22.7 billion. So, facebook ad revenues accounted for about 2.4% of the total online ad spending in 2009. In 2010, the facebook US ad revenues were $1.21 billion constituting 4.7% of the total online ad spending in the country. In 2011, of the total US online ad spending of $31.3 billion, the revenues of this particular social networking site were $2.01 billion constituting 6.4%. This trend of facebook is estimated to rise further over the coming years. On the whole, it is found that more companies are interested to increase their marketing presence in social networks and also increase their focus on spending ad dollars there.
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