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SEM Ads 50 Percent of Digital Revenue

SEM ads

SEM ads generated 50 percent of all digital revenue during the first half of 2016, with mobile buys approaching desktop level marketing…

Digital revenue in the United States earned $32.7 billion during the first half of the year, with SEM ads (including desktop and mobile) accounting for 50 percent. That’s an increase of 19 percent in a year-over-year comparison, according to a new report.

SEM Ads Accounted for Half of Digital Revenue in the First Six Months of 2016

Mobile, in all its formats, showed the most growth, up by 89 percent over last year, reaching $15.5 billion. The company which collected the data, the IAB, announced mobile “surpassed search as the lead ad format for the first time.”

Combined search revenues totaled $16.3 billion, with desktop earning $8.9 billion and mobile generating $7.4 billion. The top-spending categories for the first half of 2016, are, in-order:

  1. Retail
  2. Financial Services
  3. Auto
  4. Telecom
  5. Leisure Travel
  6. Consumer Packaged Goods
  7. Consumer Electronics & Computers
  8. Pharma & Healthcare
  9. Media
  10. Entertainment

These figures aren’t surprising considering businesses are buying more digital ads than legacy media or traditional, such as print, radio, and television. The Internet Advertising Revenue Report is conducted by PricewaterhouseCoopers. Alone this year, Facebook will earn $26 billion in advertising and will reach more than $30 billion at the end of next year. In related news, Bing text ads recently went global and social site Pinterest introduced retargeting options.

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