Facebook claims nearly 31.2% of US ad display market
Facebook is playing a dominating role in the US ad display market. Based on a research by comScore, it has been estimated that Facebook now possesses around 31.2% of the advertising display market of US, which was only 15.6% in the first quarter and 25.9% in the fourth quarter of 2010. Facebook already claims 346.4 billion advertisement impressions in the first quarter of 2011, which is almost double of what it had acquired in the first quarter of 2010. The trends indicate that Facebook will exceed 1 trillion impressions in 2011.
Yahoo, which is the closest contender of Facebook holds 10.1% of the market, whereas Google, which is comparatively new in the display business claims 2.5%. The success of Facebook in the advertising market has prompted it to declare a hike in its rates of ad units by 40%. There is also a speculation that that the IPO of the company could upgrade it into the range of $100 billion in the next year.
Facebook, which is yet to celebrate its seventh birthday, has surprisingly earned bulk revenue from advertising alone. The latest released figure from eMarketer shows that the revenue earned by Facebook through ad display in 2010 has reached $1.86 billion. Now, if the other sources of revenue are added along with the advertising revenue of Facebook, it can well be said that the revenue earned has possibly surpassed $2 billion last year.
Of late, Facebook serves around 50 billion display advertisements each month and is on the track of serving 1 trillion display ads. Facebook earns 60% of its ad revenue from Small and Mediun Sized Businesses and the remaining 40% comes from brands like Coca-Cola and Procter & Gamble.
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