Wednesday 1 October 2014

Facebook's digital ad share in the US is higher than it's share of time spent

"The amount of ad dollars spent on Facebook FB +0.05% is outpacing the amount of time people spend on the site, a reflection in part of Facebook’s ability to convince marketers of the power of advertising with the social network.
While 6% of U.S. adults’ digital media time is spent on Facebook, 9.7% of U.S. digital ad spending in the U.S. flows to the site, according to a new report by eMarketer. That’s not the case with the rest of the industry. For example, U.S. adults spend 7.1% of their digital-media time listening to Pandora – that’s more than Facebook – but the online music streaming service commands only 1.4% share of digital ad dollars.
There are a couple of reasons why Facebook is able to buck the trend in the rest of the industry. For one, it not only continues to add to its more than a billion users around the world, but those customers are still increasing the amount of time they hang around. Adults in the U.S. will spend an average of 21 minutes a day on Facebook this year, according to eMarketer. That’s up from 19 minutes a year ago and only six minutes in 2010. The increasing usage underscores the obvious: Facebook is incredibly popular."

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