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Paradigm Shifts – From TV to Digital, From Desktop to Mobile

 

The numbers are in. The verdict has been delivered. The paradigm shift is official. According to new research from Standard Media Index, digital media siphoned off more than $1 billion in advertising revenue from the US TV market, with 87% of those dollars drained out of the Big Four networks – NBC, ABC, CBS and Fox. SMI tracked agency investments over a nine-month period spanning October 2014 to June 2015, an interval that corresponds with the broadcast calendar.

New segments like the digital video market are growing at a blistering rate. With spend on pace, it is poised to hit $7.77 billion by year’s end which is a little over 10% of the $70.6 billion TV market.

Not Convinced? Let Facebook Be Your Guide…

Three years after Facebook started running ads on its mobile properties, mobile advertising accounted for 76% of Facebook’s $3.8 billion in second-quarter advertising revenue, which was up 43% year-over-year.

Facebook’s mobile user base saw even steeper growth, with mobile monthly active users up 22% and mobile daily active users up 29%

In the second quarter, the average price of an ad on Facebook rose by 220% while the number of ad impressions Facebook served dropped by 55%.

Is your business strategy in line with the digital and mobility revolution? Use the comment box to share your thoughts.

Team Position2

July 31, 2015

By Team Position2