Get ready to buy some shares. In this year alone, the global ad revenue from social networks is expected to reach $5.54 billion, eMarketer reports. A large chunk of that revenue, though just under half at $2.74 billion, is predicted to come from the US market.
Growth has been booming in the US, and by 2013, non-US revenues are expected to make up 51.9% of the total, making total ad revenue numbers close to $10 billion worldwide, with $4.81 billion coming from in advertisements in the US.
Facebook rakes in the most chips in advertisements, with Twitter and other social networks making up the smaller share. With these growth changes, social networking sites now account for a larger bulk of digital ad spending, with 8.8% of online ad dollars in the US alone and 6.9% worldwide to go to these sites. By 2013, US numbers are expected to jump to 11.7% in online ad spending, and 9.4% globally.
It remains to be seen whether Google+ is expected to take a portion of ad revenue, and from what we know, Google has no plans to monetize the service (or platform). Yet, anyway. With the attention on social networks beginning to heat up, however — even concerts are now being live streamed globally through platforms like Facebook — it’s assumed that most social services will begin stepping up their advertising game.
Let’s get your opinion: What do you think could be causing this massive growth in ad revenue for social networking services? And how do you think social networks will evolve to accommodate advertising? Sound off in the comments.