No matter if it’s TV, the internet, an online game, or just a billboard on the street, ads are everywhere we look.
That said, we’ve put together some of the most exciting stats that will show you just how much the advertising industry has grown and how much ads have become a part of our everyday life.
Top Advertising Statistics and Facts: Editor’s Choice
- With $103 billion in ad spending, Google is the leading digital ad seller.
- Average advertising costs for a small business equal 1% of its revenue.
- Facebook is the most popular social media platform for marketers.
- 86% of people skip TV advertising.
- Podcast ad spending is expected to reach $1.13 billion in 2021.
- 92% of consumers trust word-of-mouth recommendations the most.
- The digital advertising market size is projected to reach $389 billion.
- Movie ad revenue will reach around $884.4 million in 2021.
Essential Advertising Stats to Know
It’s hard to imagine any business succeeding without relentless promotion and marketing. But the numbers involved in the advertising industry are far more extensive than one would imagine.
1. Global ad spending has reportedly reached $656 billion in 2020.
According to advertisement statistics, 2019 was a disappointing year for global ad spending.
However, even though the whole world is occupied with the COVID-19 pandemic, 2020 has been a great year for global ad spending.
The World Advertising and Research Center (WARC) suggests that there has been an overall rise of 2.5% in global advertising spending by the end of the last year.
2. North America was the top advertising market in 2018 at $232.48 billion.
North America was the biggest advertising market, followed by Asia and the Pacific zone.
Advertising stats show that these two regions account for 70% of all global advertising spending in 2020.
However, we can fully expect that Asia and the Pacific region will surpass North America and become the number one advertising market by 2022.
3. With $103 billion in ad spending, Google is the leading digital ad seller.
Digital advertising statistics show that with over $103 billion, which is 31.1% of the global ad spending, Google brings in the most revenue of any other company.
Next in line are Facebook with $67 billion in ad revenues and Alibaba with $30 billion. Amazon and Microsoft are also on the top 10 list with $14 billion and $6 billion, respectively.
4. The retail industry was the most prominent ad spender in 2020.
When we look at the advertising spending by industry statistics, we can see that the retail industry has increased ad spending by 3.1%, reaching $28.2 billion.
The interesting part is that the overall US ad spending will grow by only 1.7%.
5. 70–80% of users ignore the sponsored search results.
One of the most exciting advertising facts is that most people are focusing on organic results.
Actually, 70–80% of people choose to ignore the paid results on Google that are pinned at the top and decide to go for the organic results instead.
Google advertising statistics show that most people don’t trust brands that are advertising themselves.
6. Nike had an $8.4 billion increase in revenue because of advertising.
In 1988, Nike wasn’t the brand that we all know today. Back then, Reebok was the number one shoe brand.
Advertising success statistics show that using the power of advertising or, in other words, the advertising campaign “Just Do It,” Nike saw an increase in revenue by a shocking $8.4 billion between 1988 and 1998.
Before the Just Do It ad, Nike had a sales revenue of $800 million.
7. Average advertising costs for a small business equal 1% of its revenue.
The spending varies by industry—one of the sectors spending a lot on marketing is retail. Retail businesses invest up to four percent of the earnings to further promote their service/products.
Conversely, the manufacturing sector spends less than the average, with 0.7% of its revenue channeled to advertising efforts.
8. Banner ads cost $20–$80 CPM on average.
The cost depends heavily on the size of the banner—the more highlighted it is on a website, the more it will cost a business.
A banner ad on Yahoo! can cost between $20–$50 per one thousand impressions. The downside is that with high-ranking placements like these you need to buy a minimum of 100,000 impressions.
Social Media Advertising Statistics
Social media is one of the crucial modern channels used to reach a wide audience in today’s age. Here are the essential figures and facts to know about how marketers use it.
9. 3.5 billion people have a social media account.
Considering there are around 7.7 billion people in the world, this means that a third of the worldwide population is online.
In other words, one in three people uses social media.
10. Facebook is the most popular social media platform for marketers.
Facebook advertising statistics show that Facebook remains the go-to social media platform for marketers, with 89% of marketers admitting that they use Facebook in their marketing campaigns.
On top of that, 83% of customers say they use the platform, while 66% say they follow or like brands on Facebook.
11. Instagram is the best social media platform for influencers.
Marketers are always trying to find new ways to promote products, and Instagram influencers are the best way to go.
According to Instagram advertising statistics, 89% of marketers use Instagram in their influencer marketing strategies. Instagram is also the only platform where there is a big increase in usage by US marketers.
12. Twitter is the top social media platform for discovery.
In the first quarter of 2019, Twitter had over 330 billion active users globally. Twitter advertising statistics show that 79% of Twitter users like to see what’s new on the platform.
This comes as no surprise considering that everything new in the world is already trending on Twitter.
13. LinkedIn is 277% more effective than Facebook in generating leads.
LinkedIn is the largest professional network online and has over 650 million registered users. Out of that number, 330 million are active monthly users.
Statistics on advertising effectiveness tell us that LinkedIn has the highest conversion rate or 2.77% compared to Facebook with a 0.77% conversion rate and Twitter with 0.69%.
14. 95% of B2B companies use LinkedIn.
LinkedIn advertising statistics show that 95% of B2B marketers use LinkedIn for content marketing, and 65% of businesses have used LinkedIn paid ads to attract more customers.
That said, it’s no surprise that LinkedIn is the highest-rated social media platform for B2B marketers.
15. Snapchat’s global advertising revenue is $1.2 billion in the US.
According to Snapchat advertising statistics, this photo-sharing app has had a consistent increase in advertising revenue over the years.
In 2018, it generated $662.1 million in ad revenue in the US. At the time, that number accounted for 62.6% of the company’s total ad revenue for the year.
Two years later, its ad revenue reached a whopping $1.2 billion in the US and $910.4 million in the rest of the world.
16. In 2019, YouTube made $4.96 billion in net ad revenue.
This comes as no surprise, mostly because 78% of marketers feel that YouTube is the most powerful video marketing platform.
YouTube advertising statistics show that between 2016 and 2020, YouTube’s net ad revenue has almost doubled. Its net advertising revenue is expected to reach $4.32 billion in 2020 in the US.
17. $0.10–$0.30 is the average advertising cost per action or view on YouTube.
One of the biggest advertising platforms has always been YouTube. It allows you to reach a vast number of people instantly, and as it turns out, it doesn’t cost a lot.
YouTube advertisement rates are somewhere between $0.10 and $0.30, which is a bargain compared to other social media platforms. Depending on the pricing model and the format, you can get different ad rates on Youtube.
TV Advertising Statistics
It’s easy to forget how valuable an asset TV was—and continues to be—in the marketing world when a lot of the advertising is done online. However, here are some numbers that might make you reconsider.
18. TV advertising spending accounted for 34% of all ad spending in 2019.
When it comes to ad spending by medium, television advertising was in second place right after the internet.
Advertising spending statistics reveal that the future is bright for TV advertising. According to estimates, TV advertising spending will reach $180 billion by 2023.
19. 86% of people skip TV advertising.
Television advertising statistics indicate that even though 52% of consumers say that TV is the most memorable way of advertising, nearly 90% of viewers say that they don’t watch commercials and skip through them or change the channel.
20. Radio advertising spending declined by 25% in 2020.
Since most people listen to the radio while driving to work or at work, this decline in radio ad spending isn’t surprising due to the coronavirus pandemic.
Radio advertising statistics show that a 25% drop is predicted to happen by the end of 2020, even though a 1% drop was originally anticipated in March.
However, radio advertising is expected to bounce back next year by 16.8%.
21. Podcast ad spending is expected to reach $1.33 billion in 2021.
Podcasting is one of the new ways of advertising, and it has been on the rise over the years.
Podcast advertising statistics show that in 2019 podcast ad spending went up to $710 million. By the end of 2020, it was projected to pass the $780 million mark.
Online Advertising vs. Traditional Advertising Statistics
While traditional advertising seems to be losing the battle against newer marketing funnels, there are still plenty of paths to high conversions in traditional advertising.
22. Print advertising statistics indicate that this type of marketing will reach 2207.6 million people in 2021, globally.
In the same period, the marketers will spend $44,173 million trying to reach the audience through print ads.
The largest print marketing revenue will be generated by the US—at the same time spending $13,469 million during 2021.
23. According to the Super Bowl advertising statistics, the show attracts $382 million in ad revenue.
The Super Bowl is one of the biggest sporting events of the year, not only for football fans but also for marketers worldwide.
Commercial advertising statistics show that during the 2019 Super Bowl, the American-based beer company Budweiser spent around $33.2 million on ads.
Amazon was in second place with $27.5 million and T-Mobile in third with $21.1 million.
24. 92% of consumers trust word-of-mouth recommendations the most.
And 83% of them not only trust the recommendations, but they are likely to act on them and make a purchase.
Word-of-mouth advertising statistics indicate that 59% of satisfied customers will also tell their friends and family about the experience.
25. Videos are shared 1,200% more than text and links.
Over the last 10 years, video has become a crucial part of every marketer’s strategy.
Online video advertising statistics tell us that 92% of people who consume videos decide to share them with other people.
Similarly, 60% of viewers engage in a video post rather than a text post, which goes to show how powerful video advertising is.
26. Global digital advertising market size is projected to reach $435.83 billion in 2021.
The market boasted a $333.25 billion spending power in 2019, surprisingly not dropping in 2020 amidst pandemic-induced expense cuts.
However, once the economy has recovered, all projections indicate consistent growth in the upcoming years.
Email Marketing Statistics
Emails are still one of the easiest ways to reach audiences and promote your business—the return on investment is one of the highest for any form of advertising.
27. Personalization can boost open email rates—up to 50%.
Emails have been vital for marketers in their advertising campaigns.
Targeted advertising statistics show that personalized email subject lines lead to 50% higher open rates.
28. The average email ROI is $42.
There are many perks to email marketing, and marketers are taking full advantage of them.
Advertising statistics in 2021 reveal that for every $1 that companies spend on email marketing, they have an average return of $42. Now that’s impressive.
Mobile Advertising Statistics
How to approach mobile advertising and what are some of the well-established tactics to use—read on to learn from the latest numbers.
29. In 2018, half of the in-app inventory was video.
The in-app advertising statistics tell us that in the first quarter of 2018, around half of all in-app ads were video. Actually, 48% in the United States and 52% globally.
Given that mobile advertising is on the rise, these numbers will only grow in the future.
In addition, native advertising statistics show that in-app ads provide 34% better click-through rates than native ads and 56% more than banners.
30. Smartphones are the most popular among adults.
Phones have become a basic need in the 21st century, and more and more people are dependent on them.
That said, advertising exposure statistics show that there are more mobile device owners than desktop and laptop users combined.
As a result, mobile advertising has been on the rise over the past years.
31. In 2019, mobile ad spending amounted to $189 billion.
One of the biggest advertising trends nowadays is mobile marketing.
More and more marketers are using mobile advertising in their marketing campaigns, so it’s no surprise that mobile advertising is expected to exceed $240 billion by 2022.
32. In 2019, ad spending grew 16% in all online games.
There is a notion that only teenage boys play video games. However, nowadays, there are more female gamers than ever before.
Moreover, a growing number of 50-year-olds and older play video games.
As a result, the in-game advertising statistics have shown that in-game advertising topped $3 billion in 2019 and will continue to rise in the future.
Amusing Advertising Facts and Statistics
33. Drug companies paid $2.8 billion for advertising in 2018.
The United States and New Zealand are the only two countries in the world that can advertise prescription drugs directly to consumers.
According to prescription drug advertising statistics, since the start of 2018, 187 commercials aired about half a million times for 70 prescription medications.
34. McDonald’s is the most valuable fast-food brand.
Fast food advertising statistics show that McDonald’s fast-food chain is the most expensive fast-food franchise, worth $129.3 billion.
When compared to McDonald’s, other fast-food restaurants don’t come even close. That said, Starbucks’s brand value is around $47.8 billion, while KFC comes in third place with $16.5 billion.
35. Kids in the US see about three alcohol ads each day.
Research conducted by Rand Corp on alcohol advertising statistics says that American kids watch about three alcohol ads per day.
Although this may not seem much, it amounts to around 1,000 ads per year. During the research, most children reported that they saw the ads on the internet, TV, or billboards.
36. Tobacco companies spend over $9 billion on advertising.
We all know that smoking is a bad habit, but marketers still try to find new ways to promote products or, in this case, cigarettes and tobacco.
According to tobacco advertising statistics, back in 2018, the industry spent around $9.5 billion on marketing cigarettes and tobacco.
However, considering that the US is the leader in producing tobacco leaves, this number is expected to grow even more.
37. The fashion industry spends $500 billion a year on advertising.
With these kinds of numbers, it’s no surprise that more and more young girls and boys are trying to make it in the fashion industry.
According to the fashion industry advertising statistics, fashion companies don’t joke around when it comes to advertising. The UK is one of the leading countries in the fashion industry.
The UK advertising industry statistics show that the United Kingdom spends around $313 million per year on fashion advertising.
38. Movie ad revenue will reach around $884.4 million in 2021.
With new blockbuster movies coming out every year and more people watching movies at home because of the pandemic, it’s no surprise that the movie industry invests so much in advertising.
According to movie advertising statistics, the movie ad revenue in the US went up by about $220 million in 11 years.
Specifically, in 2010 the movie ad revenue was $658.3 million, and it’s expected to reach $884.4 million in 2021.
39. The canned, frozen, and preserved fruits, vegetables, and food specialties industry spent $1.36 billion on advertising in 2018.
This may seem like a strange fact, but the canned and frozen food industry is very popular among US citizens.
Food industry advertising statistics show that this sector will only spend more, expecting to reach $1.5 billion by the end of 2020.
Advertising Statistics Around the World
People react differently to ad placement across the world, so the spending and the channels of choice are adjusted accordingly by businesses.
40. Advertising industry statistics in India highlight digital marketing growth—the market size will reach $3.56 billion in 2021.
The same report projects that the digital advertising market in India will double by 2024 when it’s supposed to grow to a $7.23 billion worth industry.
This is particularly interesting, considering that the market size was worth around $200 million just 10 years back, in 2011.
41. Canadian advertising industry statistics show that the spending dropped by 14.1% by the end of 2020.
The percentage indicated that $10.8 billion less was spent on advertising last year alone. The most obvious culprit for this is the pandemic, having severely affected economies around the world.
Canadian newspapers alone saw a 40% decrease in ad revenue in the mentioned period—a drop from $1.21 billion to only $726.7 million.
Advertising Statistics: The Takeaway
Advertising plays a vital role in the 21st century since the internet has become the primary source of information.
That said, the real challenge for marketers worldwide will be to find a balance between the traditional way of advertising and the new digital approach.
As mentioned in the advertising statistics above, the future looks bright for digital advertising, and it seems that more and more marketers are accepting this new era of marketing.
Frequently Asked Questions
How much does a YouTube ad cost?
One of the biggest advertising trends is advertising on YouTube. The average YouTube ad will cost you somewhere between $0.10 and $0.30. However, video duration and video quality play a big part in how much your ad will cost you.
For example, every time someone engages with your ad, you will have to pay around $0.10 and $0.30. In other words, you will pay $1,000 for every 10,000 people who watch your ad.
How much do companies spend on digital marketing?
Usually, companies spend 20–30% of their marketing budget on digital marketing. The average small company that uses Google advertising campaigns pays somewhere between $9,000 and $10,000 per month, which is around $100,000 to $120,000 per year.
However, it also depends on which social media platform or medium you’ll use because every platform has a different cost rate. The industries that spend the most on digital marketing are retail, automotive, financial services, and telecommunication.
How much should I budget for social media advertising?
Every business has a different social media advertising strategy. However, the average amount they spend on social media advertising daily is somewhere between $200 and $350. Notably, that means they pay $6,000 to $10,500 per month or $72,000 to $126,000 per year.
Most of the companies spend 20–30% of their annual marketing budget on marketing. That said, that’s only in the first two years, depending on whether the advertising was a success or not.
How much money is spent on marketing in the US?
The latest advertising stats show that the United States spent over $223 billion on marketing in 2018. However, that number increased in 2019, when over $243 billion was spent on marketing.
The US holds the number one spot in money paid for marketing, and it has spent twice as much as its closest competitor China ($87 billion), followed by Japan ($46 billion).
That said, it’s no wonder that global ad spending is expected to rise and surpass $600 billion in 2020.
How many advertisements is a person exposed to in a day?
One of the fascinating advertising facts is that the average person sees somewhere between 6,000 and 10,000 ads every day. Yes, advertising statistics can be shocking. It may sound like a lot, but you can thank the increased use of the internet and technology for that.
Almost everyone has internet access, and more and more companies see the online world as the perfect place for advertising. There are many ways that companies are advertising online such as display, SEO, native, and video advertising.
Sources
Biopharma Dive, Campaign Monitor, CDC, CNBC, Digital Information World, eMarketer, eMarketer, eMarketer, eMarketer, eMarketer, Forbes, The Guardian, HubSpot, HubSpot, Kantar, Medium, Media in Canada, Not Just A Label, Oberlo, Our World In Data, Pew Research, Referral Candy, Search Engine Land, Small Biz Trends, Small Biz Trends, Sprout Social, Statista, Statista, Statista, Statista, Statista, Statista, Statista, Statista, Statista, Statista, WARC, WebFX