A screenshot of a Google display advertisement, on the Los Angeles Times Technology blog. (Los Angeles Times) |
Watch out, Facebook, Google is gaining.
The social networking giant will lose its lead in online U.S. display advertising revenue to Google next year, according to a new report from research firm EMarketer.
Google will gobble up nearly 20% of the market in 2013 with $3.68 billion in sales, while Facebook’s growth will slow, the report says.
Not that the social networking site's share of the online U.S. display advertising pie is anything to scoff at. Facebook will account for nearly 18%, or $3.29 billion, EMarketer estimates.
Google is getting a lift from its dominance in search advertising and its ad network, which places ads on sites across the Web, according to EMarketer. The Internet search giant will lay claim to nearly 48% of the total U.S. online ad market in 2014, up from 41% last year. Facebook will have 7.1%, up from 5.4%.
Last year Facebook took the lead over Yahoo, which used to dominate display advertising.
The social networking giant with 845 million users filed for an initial public offering this month. The IPO is expected to be the largest ever for an Internet company.
Yet revenue in 2011 fell $500 million short of EMarketer’s projections. Debra Aho Williamson, an EMarketer analyst, says Facebook has to turn on the revenue spigot to impress Wall Street.
Facebook is holding a splashy event for marketers in New York next week in an attempt to forge stronger ties to major brands.
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