The news: Social media advertising will account for nearly half of global online ad revenues by 2030, according to an Omdia report.
- Social media’s share of online advertising will increase 10% in the next five years, reaching 44% of overall spending.
- Spending will increase at a compound annual growth rate of 12% over the upcoming years and will reach $640 billion by the end of 2030, per the report.
- 90% of global social media ad revenues come from six apps, including Instagram, Facebook, YouTube, TikTok, Chinese company WeChat, and Douyin, TikTok’s Chinese counterpart.
Zooming out: Our forecasts reaffirm social media’s pivotal role in digital advertising.
- In the US, social networks will account for 33.4% of digital ad spending this year, reaching 36.3% in 2030.