Spending on social network advertising is predicted to increase by about 20 percent in 2014 and by the same percentage again in 2015. This is according to the projections of eMarketer magazine, which uses a complex, multi-faceted formula, including current market and demographic trends, for data analysis.
The rate of growth is greatest in North America, and is more than double that of Western Europe. Other regions of the world show negligible growth in this area of e-commerce.
eMarketer anticipates that online advertising will increase from $26.05 dollars per social network user in 2013 to almost $33 in 2014 and jump again in 2015 to close to $40 per user. The numbers cover monies spent on “paid advertising that appears on social sites, but not…creation of social content or maintenance of brand pages.”
The increase in spending has been spurred by increasingly larger numbers of consumers turning to social media and the accompanying awareness on the part of marketers of the important role that social media continues to play in promoting products, brand awareness, and consumer loyalty.
Reference:
eMarketer. “Social Ad Spending per User Remains Highest in North America,” January 6, 2014.
