US Digital Ad Spend

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The Coronavirus pandemic results in $20B in lost ad revenue for 2020, but US digital ad spend is up.

Let’s take a look at US digital ad spend. Previously we reported about global advertising spending, and the implications.

We established that global advertising will be down 8.1% from prior estimates. With $563B in ad spending this year. Globally, digital media is up, and traditional media is down. The US eMarkter reports that prior 17% growth in digital ad spending would drop to just 1.7% growth. This is still good.

Instead of taking in an additional $22B, digital ad spending would take in “just” an additional $2.2B. What I find surprising in this data is that search ad spending will decline this year. Display and video ads will grow.

In total eMarketer expect $134.66B for 2020. When we dig into search it looks like search decreases by 2.7 percent this year, as travel advertisers who rely on search slow down their spending.

On video, YouTube is the top platform.

Facebook is expected to grow at 4.9 percent this year to $31.43B.

In all, the Coronavirus pandemic results in $20B in lost ad revenue for 2020.

When we talked about the implications previously we talked about mergers and acquisitions, the push to digital as a winner, and innovation.

As we focus on the US market we’re seeing that Facebook continues to ascend, and even take share from Google. 

In one key stat Facebook is taking 23.4 % of all digital ad spending in 2020, compared to 22.7% of all digital ad spending in 2019. 

This speaks to Facebook’s purview into consumer data, their ability to sell vast amounts of ad inventory, and their continuing dominance as a social media platform even with their political and governance challenges.

Robert Brill

Robert is the CEO of, host of the LA Business Podcast, and host of The Great Reset on YouTube.

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