In the year 2016, both Google and Facebook managed to accumulate one-fifth of global advertising spending, which is almost two times what the figure was five years ago. With this, online advertising has overtaken television making it the world's largest ad medium according to data and analysis agency Zenith. Within this online sector, Twitter has been found to be the fastest-growing media owner, seeing ad revenue increase by 734% from 2012 to 2016. An interesting finding here is how internet-only media companies appear to be 'grabbing the biggest slices' of the online advertising market. This has occurred while traditional news publishers have fallen far behind having to undergo things like cutbacks. Google and Facebook on the other hand alone, accounted for almost 20% of global advertising spending with the next runner-up being Comcast who are of course a traditional media owner. This comes as the market leader Google has been facing boycotts from advertisers such as McDonald's and even the UK government itself due to them discovering their advertising spending was being used to place banner ads on top of YouTube videos from groups like Britain First. Regardless though, digital platforms funded by internet ads dominated the top 30 and funnily enough out of this top 30, 20 of the firms are based in the US. This signifies the fact that the nation has the biggest ad market and also has companies that have invested the most in expanding their reach abroad with Silicon Valley innovation powering this growth.
- Twitter is the fastest-growing media owner, increasing ad revenue by 734% between 2012 and 2016
- Google attracted $79.4bn (£61.5bn) in ad revenues in 2016, three times more than the second-largest, Facebook, which pulled in $26.9bn, according to Zenith
- The two companies accounted for nearly 20% of global advertising spending last year, up from 16.3% in 2015 and 10.6% in 2012
- The largest traditional media owner is US broadcasting and cable television company Comcast, which was third with $12.9bn in ad revenues in 2016, up from $11.5bn the year before
- The seven digital platforms (Facebook, Google, Baidu, Microsoft, Yahoo, Verizon and Twitter) generated $132.8bn of internet ad revenues in 2016, accounting for nearly 3/4s of all internet ad spend, and nearly 1/4 of total ad spending
With this article, we see that Google and Facebook still remain as the digital giants they have been known as. Their topmost positions on the Zenith rankings represent this, also showing traditional media owners are increasingly losing their hold within the advertising market. Something that was also quite notable with the rankings was how 20 out of the top 30 media owners were from the US. It could be said that this is representative of the cultural imperialism that we tend to see within today's media. Either way though, it'll be quite interesting if we see other countries becoming more dominant in this ranking across the coming years.
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