Every other person in the world uses social media, and we are not using this in a metaphorical way either. The number of global social media users crossed 4 billion recently, and with a global population that is still short of 8 billion, it’s safe to assume that one out of every two people that you would look at would likely use social media in some capacity with all things having been considered and taken into account.
Social media’s growth rate has been phenomenal, and this has led to the value of the industry increasing as well, crossing the $100 billion mark in 2020 to reach a total market value of $103 billion. With all of that having been said and now out of the way, it is important to note that this study from Million Insights reveals that future growth will be exponential, with the industry as a whole likely being valued at over $260 billion after six years.
Ad spends for desktop social media users have reached a bit of a plateau, but in spite of the fact that this is the case spending for mobile ads has continued to increase at an exponential rate. Social media ads are not just growing because of increasing user counts, though. The value of social media for planning marketing campaigns and gathering data on how users feel about a particular product also makes it a great resource for companies, and that might be why the growth rate is so high in the forecast that this report is showing to people.
70% of social media ad revenue in 2020 came from mobile, and this proportion is likely to grow as the average user begins depending on their mobile phone a lot more than desktops. Desktops are usually used for work, and many users are avoiding social media on them so that they don’t get distracted. Hence, by investing in social media ads for mobile, marketing companies can get more eyes on their ads and improve the performance of their campaigns so their preference for mobile will only get stronger.
Read next: Insider Intelligence Reveals TikTok Generated More Ad Revenue Than Snapchat and Twitter Did Combined
Social media’s growth rate has been phenomenal, and this has led to the value of the industry increasing as well, crossing the $100 billion mark in 2020 to reach a total market value of $103 billion. With all of that having been said and now out of the way, it is important to note that this study from Million Insights reveals that future growth will be exponential, with the industry as a whole likely being valued at over $260 billion after six years.
Ad spends for desktop social media users have reached a bit of a plateau, but in spite of the fact that this is the case spending for mobile ads has continued to increase at an exponential rate. Social media ads are not just growing because of increasing user counts, though. The value of social media for planning marketing campaigns and gathering data on how users feel about a particular product also makes it a great resource for companies, and that might be why the growth rate is so high in the forecast that this report is showing to people.
70% of social media ad revenue in 2020 came from mobile, and this proportion is likely to grow as the average user begins depending on their mobile phone a lot more than desktops. Desktops are usually used for work, and many users are avoiding social media on them so that they don’t get distracted. Hence, by investing in social media ads for mobile, marketing companies can get more eyes on their ads and improve the performance of their campaigns so their preference for mobile will only get stronger.
Read next: Insider Intelligence Reveals TikTok Generated More Ad Revenue Than Snapchat and Twitter Did Combined
