Don’t look now, but Facebook is an advertising juggernaut. They’re not quite Google, yet. But they are getting closer.
Latest estimates put Facebook’s share of digital advertising revenue at approximately 22%, with Google at 38%, and Amazon – the next highest company – at 7%. Facebook’s ad revenue has nearly doubled since 2016, despite the negative press that has surrounded the company for the last half-decade.
If you’re not a Facebook advertiser currently, you might be asking yourself why. Perhaps you are one of many marketers who have tried Facebook ads in the past only to abandon them soon after. Well perhaps you should look again.
There are three big reasons why Facebook continues to grow their share of the overall digital ad market:
Their audience continues to grow
They have invested in new options for advertisers
In truth, all three are connected. Their audience continues to grow because of apps that many people don’t necessarily think of as Facebook. But WhatsApp, Messenger, and Instagram have all seen user growth even while the main Facebook community suffers the backlash of the media. And all three contribute to Facebook’s ad revenue haul.
But none more so than Instagram, which has seen its share of ad revenue grow from roughly 10% of all Facebook revenue in 2016, to more than 20% of all Facebook revenue last year.
And that’s because it’s working. Companies are seeing success.
If your company is not familiar with all the different advertising options that Facebook offers, now is the time to dip your toe back into the water. The tools are there. And if you don’t use them, you are ceding that channel to your competitors.