In the first half of his year, social media sites have helping online display advertising in the UK making a growth of 6.4% or about £381m (450 million euro), so says the Internet Advertising Bureau.
More and more companies like Unilever, Virgin and O2 advertise on Facebook, Twitter, MySpace, LinkIn etc , by spending huge budgets to pick up potential consumers.
Online video ads are the most popular, however they only make part for 5.5% of total digital spend. Although, paid-search advertising (like Google and others) have still an increase of 8.9% to £1.18 bn (1.39 milliard euro) , the paid-for search’s share of UK internet advertising shrunk from 61.7% to 59.5%. The main reason is that marketers switch to areas such as social media and online video advertising, who have a high margin growth.
Overall media and entertainment spend the most on display advertising, followed by the financial sector and consumer goods companies.
But why advertising at social network sites ? First of all, they can attract the people you want to advertise. Secondly, the number of target people is huge (a half milliard people all over the world has already Facebook for instances) .
Julie Scheipers
http://www.guardian.co.uk/media/2010/oct/05/facebook-display-ad-increase
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