Mobile advertising has changed the way that marketers approach their customers, allowing unprecedented access and demographic data thanks to the efforts of both Facebook and Google. These technological giants have created an ad space that wasn’t even available just a decade ago — now the mobile world is leading the way to a new type of advertising.
Facebook recently posted a 39 percent increase in revenue, three-quarters of which came from mobile advertising. Google currently leads the pack in mobile advertising, with a 35 percent market share, but its number-one status is being threatened by the 968 million daily visitors at Facebook.
Facebook’s Explosive Growth
Despite a dismal quarter for Twitter, whose shares are down 14 percent, and Yelp, down 25 percent, Facebook doesn’t look like it can be stopped. The company’s explosive growth, in part, is due to increased interest in search and data indexing that can be turned into actionable results for marketers far and wide. In the future, Facebook is also planning to increase the reach of data-driven advertising to its less profitable sites like Instagram, where a wealth of users in the under-35 demographic spend a great deal of time connecting.
Marketers are flocking to invest their budgets in Facebook’s programmatic advertising model because it gets results. Facebook has already surpassed the long-time NASDAQ giant, General Electric, and has set its sights set on NASDAQ’s number one, Google. Considering that Facebook’s second quarter 2015 revenue reached $4.04 billion, up from $2.91 billion year over year, a changing of the guard could happen sooner than analysts think.
Forecasts are Sunny for Facebook
Facebook certainly believes big things are on the horizon. The company has been spending its extra income on new employees and increasing research and development budgets. With a workforce that now totals almost 11,000 souls, marketing with Facebook may well be a great answer to many corporate advertising woes.
Not only is the ability to target specific demographics with specific messages a valuable tool, but doing it with an ever-expanding and constantly-analyzed data set means that marketing can only become more efficient thanks to Facebook and Google’s efforts. Search is the new financial frontier, and programmatic marketing the newest, most efficient way to reach any audience, anywhere, at any time.