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Archive for July, 2012

eMarketer in the News: July 27, 2012

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The New York Times – Facebook Efforts on Advertising Face a Day of Judgment
July 22, 2012: “Advertisers need more proof that actual advertising on Facebook offers a return on investment,” said Debra Aho Williamson, an analyst with the market research firm eMarketer. “There is such disagreement over whether Facebook is the next big thing on the Internet or whether it’s going to fail miserably.” Read more.

The New York Times – Small Retailers Open Up Storefronts on Facebook Pages
July 25, 2012: Some consumers do not feel safe buying directly from a Facebook storefront, said Krista Garcia, a social commerce analyst with a market research firm, eMarketer. And business owners should be aware that they do not own their Facebook pages — Facebook does, and it can change the appearance and rules whenever it wants. Read more.

The New York Times – Softer Sales of iPhones Hurt Apple
July 24, 2012: Apple’s share among smartphone users in the United States is expected to reach 31 percent in 2012, up from 30 percent last year, according to eMarketer, a firm that compiles data from technology research firms. Read more.

The New York Times – AOL’s Ad Revenue Up; Armstrong Bullish on Video
July 25, 2012: According to the research company eMarketer, AOL’s share of online ad revenue in the United States declined to 2.8 percent in 2011, down from 3.4 percent in 2010. The total online advertising market is expected to grow to $39.5 billion in 2012 and display advertising to reach $15.3 billion this year. Read more.

The Wall Street Journal – Twitter Embraces Olympics To Train for the Big Time
July 23, 2012: “There’s no way of knowing exactly how much advertisers will spend on Twitter during the Olympics, but there is no doubt they will be jockeying for ad space during some of the key events of the Games, when traffic on Twitter will explode,” eMarketer analyst Debra Aho Williamson said. Read more.

The Wall Street Journal – The Morning Download: Get Outside Your Comfort Zone
July 23, 2012: “There’s no way of knowing exactly how much advertisers will spend on Twitter during the Olympics, but there is no doubt they will be jockeying for ad space during some of the key events of the Games, when traffic on Twitter will explode,” eMarketer analyst Debra Aho Williamson said. Read more.

The Wall Street Journal – Facebook Earnings to Show More Clicks
July 26, 2012: In a report, eMarketer cited surveys and said that while many marketers increased their spending on Facebook last year, this year some marketers “have reduced spending.”

Financial Times – AOL Swings to Profit on Patent Sale
July 25, 2012: AOL still has a long way to go in its revival. Domestic display advertising revenues were flat compared to the same period last year. AOL has steadily lost share in the US online advertising market, according to research firm eMarketer. Read more.

Reuters – AOL Swings to Quarterly Profit on Patent Sale
July 25, 2012: In the U.S., online advertising spending in the second quarter increased almost 24 percent, according to research firm eMarketer. Read more.

Associated Press – Facebook’s Stock Tumbles After 1st Public Quarter
July 26, 2012: “They didn’t break any banks,” said Debra Aho Williamson, an analyst at research firm eMarketer. “They did not come out any better than anybody had expected.” Read more.

Advertising Age – Facebook: 85% of Our Users Are Creating Content
July 27, 2012: I ran Facebook’s 85-15 finding by Debra Aho Williamson, principal analyst-social media at eMarketer, who, because of that broad definition of content creation Facebook is using, called it a “weird stat.” Read more.

Advertising Age – AOL Preps Big Changes to Patch Amidst Sound Q2 Results
July 25, 2012: AOL’s ad-network business continued a trend of successful results with $111 million in revenue, up 19% from $94 million in the same quarter last year. The overall U.S. online display market is expected to grow 24% in 2012, according to eMarketer. Read more.

USA Today – Facebook Posts Loss On One-Time Charges
July 26, 2012: The market for the ads that dot smartphone and tablet screens is expected to soar to $10.8 billion in U.S. sales by 2016, from an estimated $2.6 billion this year, says research firm eMarketer. That’s a tiny slice of the $169.5 billion market for media ad spending in the U.S. Read more.

USA Today – Businesses Use Gaming Principles In Marketing
Saturday July 28, 2012: Kiip and Popchips are using games as a way to personalize mobile advertising and overcome user resistance to ads on their smartphones and tablet computers. The market for mobile ads is expected to explode, soaring from an estimated $2.6 billion this year to $10.8 billion in 2016, according to research firm eMarketer. Read more.

USA Today – Facebook Earnings Due Thursday, After Zynga Loss
July 27, 2012: “There has been talk for a long time about social gaming being a fad, and we may be seeing some of those suspicions come to fruition,” says Paul Verna, gaming analyst for eMarketer. “Zynga had plenty of hit games and a good run, but that’s not happening now.” Read more.

National Public Radio – Facebook Earnings Reflect Slowing Ad Revenue
July 27, 2012: Read more.

Bloomberg – AOL Rises To Highest Value Since 2009 On Quarterly Profit
July 25, 2012: AOL’s U.S. advertising revenue ranks fifth among major competitors behind Google Inc. (GOOG), Yahoo Inc., Facebook Inc. (FB) and Microsoft Corp., according to research firm eMarketer. Read more.

Bloomberg – Facebook Falls After Report Fails To Quell Growth Concern
July 27, 2012: Facebook will have 16.8 percent of the U.S. market this year, after grabbing the top spot from Yahoo! Inc. last year, according to eMarketer. Read more.

Bloomberg – Apple Talked With Twitter About Investment, NYT Says
July 26, 2012: Researchers at eMarketer have said that in 2014 Twitter advertising sales, which account for almost all its revenue, will rise to $540 million from $139.5 million last year. The closely held company doesn’t release sales figures. Read more.

Agence France Presse – AOL Posts Profit In ‘Milestone’ Quarter
July 25, 2012: The research firm eMarketer said AOL’s share of US online ad revenues is declining. The company’s share of online ad revenues in the US declined to 2.8 percent in 2011, down from 3.4 percent in 2010. The group predicts AOL’s share of revenues will fall further to 2.4 percent this year. Read more.

CNN – Google’s Playbook Won’t Work at Yahoo
According to research firm eMarketer, Google will own 78% of the U.S. search ad market by the end of this year. Yahoo’s share will land at 4.5%. By the end of 2014, it’s expected to fall to 3%, according to eMarketer. Read more.

Posted on July 27, 2012.    

One in Four People on Social Networks in Mexico

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Adoption slowed by low internet user penetration

NEW YORK, NY (July 26, 2012)—A new eMarketer report forecasts double-digit growth for social network usage in Mexico through 2016, with the number of users reaching 30.3 million this year.

However, social adoption in Mexico will be hampered by the country’s low internet adoption. Internet user penetration in Mexico will reach 40.5% this year, significantly below Argentina at 54.3% and below the Latin American average of 42.6%. This difference in adoption can be attributed to Mexico’s economic climate, where half the population falls below the poverty line.

The new report, “Social Networking in Mexico: Bringing the Plaza Online” analyzes findings from dozens of third-party research providers, includes interviews with industry executives and addresses the most important social networking trends in Mexico, including:

  • What social networks are succeeding in Mexico?
  • What are the key demographic trends in social media usage in Mexico?
  • What are the similarities between Spanish-speaking social network users in the US and those in Mexico?

“Mexican culture is deeply rooted in the town plaza, where generations of Mexicans have gone to conduct business, shop, socialize, and discuss current events,” said eMarketer. “From this perspective, it is not surprising that Mexicans embraced social networks so quickly and effortlessly, turning social sites into virtual plazas.”

Facebook continues to dominate the social landscape with an estimated 28 million users this year, for a penetration of 92% among social network users.

Key Takeaways from “Social Networking in Mexico: Bringing the Plaza Online:”

  • Cultural and digital exchange across the US-Mexico border offers challenges and opportunities.
  • Popular social networking sites in Mexico fall in line with global trends.
  • Pinterest, foursquare and LinkedIn will remain underachievers.
  • Social network users in Mexico and the US Hispanic market have positive views about ads and like to comment.

About eMarketer
eMarketer is the authority on digital marketing, media and commerce, offering insights essential to navigating the changing, competitive and complex digital environment. By weighing and analyzing information from different sources, eMarketer provides businesspeople, marketers and advertisers with the most complete view of digital marketing available.
www.eMarketer.com

Media Contact:
Clark Fredricksen
Vice President, Communications, eMarketer
Tel. 212-763-6056
Twitter

Posted on July 26, 2012.    

Robust Outlook for UK Ad Spend Growth

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Online claims one in three ad dollars this year

NEW YORK, NY (July 25, 2012)—After record growth in 2011, the internet now remarkably accounts for more than one in three ad dollars in the UK—a figure that will rise to nearly one in two by 2016—according to a new forecast by eMarketer.

UK online advertising will rise to $8.64 billion in 2012, eMarketer estimates, up from $7.72 billion last year.

Total media ad spending is set for a slight bump in growth this year due to the Olympics, eMarketer forecasts, with total spending set to reach $24.21 billion, up 4.5% from last year—despite continued uncertainty about the European economy.

A record amount of total ad spending in the UK will go to internet ads—35.7% in 2012—as several digital formats see faster-than-expected growth.

Mobile advertising in the UK will reach $558.1 million in 2012, up 70.3% from 2011, according to the new forecast. Mobile spending is still growing from a small base, however, and as total spend increases, growth will moderate. By 2016, mobile spending will be nearly six times this year’s estimated spending.

eMarketer previously forecast in October 2011 that mobile advertising spending in the UK would reach just $314.8 million in 2012, while overall online ad spending would reach just $7.84 billion.

The significantly higher revisions for overall online and mobile ad spending are the result of several factors, most notably the record actual figures put forth by eMarketer’s benchmark source for online advertising in the UK, the Internet Advertising Bureau.

“Mobile adoption drives far more dollars than expected into display and search—particularly mobile search,” says eMarketer. “In addition, advertisers will continue to increase spending on mobile ads in applications and social media sites where smart device users spend significant time.”

eMarketer is also seeing faster than expected growth in several categories of mobile advertising, notably search, banner ads and text links, and other display formats.

UK mobile search advertising spending will grow 71.1% to $370.6 million this year. That’s up significantly from eMarketer’s previous estimate from October, which forecast mobile search advertising in the UK would reach just $212.1 million in 2012.

Likewise, spending on mobile banner ads will also see more than 71% growth to $164.7 million in 2012—nearly double the previous 2012 prediction of $87.2 million from eMarketer’s October forecast.

eMarketer estimates display advertising in the UK will grow 17.8% to $2.14 billion in 2012, up from $1.82 billion in 2011, driven primarily by strong demand for banner and text link advertisements.

Meanwhile, advertisers will spend $4.91 billion on search ads in the UK this year, up 10.1% from 2011. In October, eMarketer previously forecast search advertising in the UK would reach just $4.45 billion in 2012.

eMarketer’s estimates of UK digital ad spending are based on the analysis of data from benchmark source IAB UK/PwC, for which the last full year measured was 2011, as well as estimates from other research firms and consumer mobile usage trends.

About eMarketer
eMarketer is the authority on digital marketing, media and commerce, offering insights essential to navigating the changing, competitive and complex digital environment. By weighing and analyzing information from different sources, eMarketer provides businesspeople, marketers and advertisers with the most complete view of digital marketing available.
www.eMarketer.com

Media Contact:
Clark Fredricksen
Vice President, Communications, eMarketer
Tel. 212-763-6056
Twitter

Posted on July 25, 2012.    

eMarketer in the News: July 20, 2012

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The New York Times – Yahoo Data Shows Depth of Challenge Mayer Faces
July 17, 2012: “Bringing in Marissa Mayer gets people’s attention,” said David Hallerman, a principal analyst at eMarketer. “The sheer attention that they are getting because of hiring her will be helpful for a while. But it will only carry them so far,” he warned. Read more.

The New York Times – As Google Changes, Its Revenue Keeps Rising
July 19, 2012: Google dominates mobile advertising with 95 percent market share for search ads and 52 percent market share for all types of mobile ads, according to eMarketer. The number of paid clicks on Google ads increased 42 percent over last year. Read more.

The Financial Times – AOL Comes Out Fighting Against Skeptics
July 16, 2012: But AOL has lost share in the market for display ads, according to research firm eMarketer. Traffic to AOL sites was down 4 per cent in May to 110m unique US visitors, according to ComScore. AOL reports second-quarter earnings July 25. Read more.

The Financial Times – Yahoo Hires Google’s Mayer as Chief
July 16, 2012: Yahoo’s share of the US online advertising business is expected to drop to 7.4 per cent this year, less than half its level in 2009, according to forecaster eMarketer. Traffic to Yahoo’s websites in the US fell 11.3 per cent in the year to May, according to ComScore. Read more.

The Economist – Googling a New Boss
July 21, 2012: he firm’s share of online-ad revenues in America has also plummeted, falling from 15.7% in 2009 to 9.5% in 2011, according to eMarketer, a research firm. Read more.

Advertising Age – Yahoo Profit Beats Estimates as Mayer Begins as Chief Executive
July 17, 2012: Yahoo’s share of U.S. spending on display ads is expected to fall to 9.1% this year from 11% in 2011, trailing Google and Facebook, according to eMarketer. Read more.

Advertising Age – Mobile Marketing Lags in China, World’s Biggest Cellphone Market
July 18, 2012: Yet marketers barely consider mobile media as a way to build brands in China. The medium’s share of total ad spend in China is about 1.5%, according to eMarketer. Read more.

USA Today – Yahoo gets new CEO: Well-Respected Google Exec Marissa Mayer
July 17, 2012: Yahoo’s slice of the nearly $40 billion U.S. online ad market — 16% in 2009 — was 9.5% in 2011 and could slide to 7.4% this year, according to eMarketer. Read more.

TIME – Intel’s Earnings Warning is an Ominous Sign for the Tech Sector
July 18, 2012: Should it introduce new mobile products under Ms. Mayer, Yahoo will again face a market dominated by Google. According to eMarketer, Google held 51.7 percent of the $1.45 billion in total mobile advertising spending in the United States last year. Read more.

Bloomberg – Google Sales Surge On Motorola Mobility, Growth In Ad Clicks
July 20, 2012: The company is also pushing into display advertising, which includes graphical banner ads, on desktops. Google is expected to grab 16.5 percent of the U.S. market this year, trailing No. 1 Facebook Inc. (FB), which should have 16.8 percent, according to eMarketer. Google will assume the top spot next year with a 20 percent share, eMarketer projects. Read more.

Bloomberg – Yahoo’s Unchanged Sales Reflect Challenge Facing New CEO Mayer
July 18, 2012: Yahoo’s share of U.S. spending on display ads will fall to 9.1 percent this year from 11 percent in 2011, trailing Google and Facebook, according to eMarketer. Read more.

Businessweek – Help Us, Marissa Mayer. You’re Our Only Hope
July 18, 2012: Yahoo’s share of overall online ad revenue in the U.S., which peaked at 15.7 percent in 2009, is dropping like an anvil and hit 9.5 percent last year, according to research firm eMarketer. Read more.

Internet Retailer – Twitter Rolls Out Targeted Tweets
July 19, 2012: The move is the latest effort by Twitter to bolster its advertising revenue, which is estimated to hit $259.9 million this year, according to research firm eMarketer. Earlier this year, for example, it rolled out mobile ads. Read more.

Forbes – The Tyranny of the OR’ For Social Media Marketing
July 17, 2012: Last year, eMarketer estimated that Facebook’s revenue from advertising was $3.8 billion and that could be $5.2 billion in 2012. Almost 40% of small businesses that sell on Facebook say it is their sole sales channel. Ignoring what your competition does is sure to limit your business longevity. Read more.

Posted on July 20, 2012.    

New Report Shows Low Adoption for QR Codes

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Discounts are the primary reason consumers scan mobile barcodes

NEW YORK, NY (July 19, 2012)—Just 9% of adults in the US have used a QR code in the past year, and slow adoption is expected in the coming years, according to a new report by eMarketer.

Once a promising mobile marketing tool, mobile barcodes have not connected with large audiences, the report noted. While some US marketers have seen success, their experience has proven to be the exception, not the rule.

The new report, “QR Codes: Marketers Keep Hitting ‘Go,’ but Consumer Adoption Still Slow,” analyzes findings from dozens of third-party research providers and interviews with industry executives, answering key questions about the opportunities and challenges mobile barcodes present, including:

  • How do consumer adoption rates for mobile barcodes in other countries compare to the US?
  • Are teens any more likely to scan mobile barcodes than older consumers?
  • What kinds of retailers are more likely to see mobile barcode-scanning customers?
  • What factors could slow the adoption of near-field communication as a replacement for QR Codes?

As the number of smartphone users continues to rise, the total number of barcode users will show considerable growth, reaching nearly 38.6 million adults in 2014.

But these vast numbers of users are not making regular use of barcodes, according to multiple research studies analyzed by eMarketer in the report. For example, international mobile payments and marketing company Mobio found 60% of North American consumers who scanned QR Codes in Q3 2011 did so just once.

“What consumers want from their 2-D barcode experience and what brands deliver are typically at odds,” said eMarketer. “Consumers want deals and discounts. Brands want to deliver information.”

Key Takeaways from “QR Codes: Marketers Keep Hitting ‘Go,’ but Consumer Adoption Still Slow:”

  • Marketers’ use of mobile barcodes is only getting stronger, even though consumer interest in mobile barcodes has plateaued, with little indication of new audience interest on the horizon.
  • Poorly aligned consumer-brand expectations for mobile barcode-linked content and inadequate user experiences are driving consumers away from mobile barcode use.
  • Larger shifts in industry and mobile technologies may also whittle down mobile barcodes’ already lean repeat-user base.

“Until marketers move beyond the practice of pushing content to consumers via mobile barcodes, and instead give consumers what they want … many consumers will continue to consider their first mobile barcode experience their last,” said eMarketer.

About eMarketer
eMarketer is the authority on digital marketing, media and commerce, offering insights essential to navigating the changing, competitive and complex digital environment. By weighing and analyzing information from different sources, eMarketer provides businesspeople, marketers and advertisers with the most complete view of digital marketing available.
www.eMarketer.com

Media Contact:
Clark Fredricksen
Vice President, Communications, eMarketer
Tel. 212-763-6056
Twitter

Posted on July 19, 2012.    

Brands Look to Take Control of Negative Social Media Buzz

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Consumers head to social platforms for more than “likes”

NEW YORK, NY (July 16, 2012)— A new eMarketer report takes a look at best practices for brands dealing with negative social media buzz, creating a roadmap to response before, during and after a crisis of any size.

The new report, “Dealing with Negative Buzz on Social Media,” analyzes findings from dozens of third-party research providers and interviews with industry executives, exploring key concerns, including:

  • What can kick off negative buzz about a company on social media—and how do different types of negative situations require different responses?
  • What tools, tactics and strategies can brands use to handle negative buzz on social sites?
  • What role do social media monitoring and listening tools play in handling negative buzz?

“With social media playing a major role in consumers’ lives and their relationships with brands, this issue is not going away,” notes eMarketer. “But the good news is that there are new tools and techniques for companies to take advantage and use social to prepare for, respond to and fix negative situations on social media sites.”

Forty-six percent of internet users vented frustration at a company via social media according to a 2012 American Express Survey. Despite that fact, a 2012 Weber Shandwick study showed that only 40% of senior corporate communications professionals worldwide felt that their companies were prepared to deal with a social-media-based threat.

  • Consumers are increasingly turning to social media to voice customer service concerns and they expect to get a response.
  • Marketers must have a plan for connecting with and responding to consumers who complain, as part of a company’s overall social media strategy.
  • Constantly monitoring, tracking and responding to comments is key to keeping social conversation in check.
  • If and when a situation does arise, marketers need to tailor their response proportionally to the problem and the specific social network from which it arose.
  • Once a problem has calmed down, brands should acknowledge the situation and make sure customers are happy before jumping back into their everyday social routine.

For many brands, negative social media buzz is inevitable, but these conversations can provide important insights about their customers and target audience and prevent marketers from making the same mistake twice on future campaigns.

About eMarketer
eMarketer is the authority on digital marketing, media and commerce, offering insights essential to navigating the changing, competitive and complex digital environment. By weighing and analyzing information from different sources, eMarketer provides businesspeople, marketers and advertisers with the most complete view of digital marketing available.
www.eMarketer.com

Media Contact:
Clark Fredricksen
Vice President, Communications, eMarketer
Tel. 212-763-6056
Twitter

Posted on July 16, 2012.    

eMarketer in the News: July 13, 2012

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The Wall Street Journal – HuffPost Prepares for Video Launch
July 10, 2012: While still small in total dollars, video is the fastest growing category of online advertising, growing 42.1% last year and expected to grow 54.7% this year, according to eMarketer. Advertisers’ desire for online video ad slots has generally outstripped supply over the past year, driving up the price of online ads. Read more.

Reuters – Analysis: Microsoft Loss Reflects Web Display Ad World’s Woes
July 8, 2012: “Display isn’t going away, but it’s becoming harder to make money from it,” said David Hallerman of eMarketer, which tracks online advertising. Read more.

The New York Times – News From the Advertising Industry
July 8, 2012: Terry Chabrowe, chief operating officer at eMarketer, New York, was named chief executive, succeeding Geoff Ramsey, who becomes chairman. Sam Alfstad, who had been chairman, becomes vice chairman, a new post. Read more.

Advertising Age – Facebook Starts Automating Home-Page Ad Buying
July 12, 2012: “It helps them because their API partners have been really successful with coming up with ways to deliver targeted advertising on Facebook, and they’ve also created interesting metrics,” said Debra Aho Williamson, principal analyst at eMarketer. “So by offering the ability to buy premium inventory using this infrastructure it just gives advertisers a better feel for what they’re paying and what they’re getting in return.” Read more.

Advertising Age – Ad Age Survey: Marketers Buy Facebook More for Awareness Than Likes or Leads
July 9, 2012: “Brands spent a lot of time and energy in 2011 building up their fan base, and fan acquisition was a top goal for many brands,” said Debra Aho Williamson, principal analyst at eMarketer. “I think what you’re seeing now is an evolution; now we have these fans and we have to figure out what to do with them.” Read more.

Bloomberg – Oracle Buys Involver to Expand in Social-Media Tools
July 10, 2012: “Everything’s becoming more integrated overall, whether it’s customer-relationship management, advertising or analytics,” said Kimberly Maul, an analyst at market researcher eMarketer. “Brands want to be able to do all of that together.” Read more.

Bloomberg Businessweek – Twitter Ads Hit or Miss With Small Business
July 10 , 2012: Twitter’s advertising appeal is also constrained because only 12 percent of U.S. Internet users are on the site, according to eMarketer forecasts. Read more.

Los Angeles Times – Ads Invade Our Screens — and Our Private Lives
July 8, 2012: “Ads that are connected to the people around you are proving effective,” says Debra Aho Williamson, principal analyst at the research firm eMarketer. “But it’s not new to say that the things our friends like we are more likely to be interested in. Knowing that your friend is interested in something does have an effect on you.” Read more.

Agence France Presse – Facebook und Yahoo legen Patentstreit bei
July 8, 2012: Der Internetpionier Yahoo schwächelt bereits seit Jahren. Während der Anteil des Konzerns am Umsatz der Online-Werbung in den USA nach Angaben des Marktforschungsunternehmens eMarketer 2009 noch bei 15,7 Prozent lag, betrug er 2011 nur noch 9,5 Prozent. Read more.

Posted on July 13, 2012.    

eMarketer in the News: July 6, 2012

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Marketwire – eMarketer Announces Upper-Management Shifts
July 3, 2012: Today, eMarketer announced several organizational changes aimed to help the company continue its rapid growth and international expansion. Read more.

The Wall Street Journal – Microsoft’s Web Woes to Wipe Out Profit
July 3, 2012: Google had 74% share of all U.S. Web-search ad revenue in 2011, according to eMarketer, which estimates Google’s share is expected to grow to 77.9% in 2012. The share for Microsoft, including searches it performs for Yahoo was 13.7% in 2011, and is expected to decline to 11.5% this year, eMarketer estimates. Read more.

The Wall Street Journal – Microsoft’s Efforts in Web Search Take Another Blow
July 2, 2012: The noncash charge won’t affect the company’s ongoing business or financial performance, the company said. But it shows Microsoft is having difficulty winning over advertisers from Google, which conducts nearly two-thirds of consumer-Web searches and this year will capture nearly 78% of U.S. search revenue, according to research firm eMarketer. Read more.

The Associated Press – Microsoft Takes $6.2B Hit To Account For Ad Woes
July 2, 2012: Google’s share of the U.S. search advertising market has risen from 74 percent in 2010 to 78 percent this year, according to the research firm eMarketer. Meanwhile, Yahoo’s share U.S. search advertising has fallen from 10 percent in 2010 to less than 5 percent this year while Microsoft’s cut has remained unchanged at 7 percent. Read more.

Forbes – How Facebook is Shaping Your 2012 Travel Decisions
July 6, 2012: eMarketer confirms this trend in travel, as their Social is the New Normal for Travel Marketers report provides charts that validate the deep connection between travel and social. Read more.

Posted on July 13, 2012.    

eMarketer in the News: June 29, 2012

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Associated Press – Facebook Draws User Ire with Email Switcheroo
June 26, 2012: “It’s pretty emblematic of Facebook’s mode of operation. Take action and apologize later,” said Debra Aho Williamson, an analyst at research firm eMarketer. “They seem like they pulled the trigger without telling everybody. It’s going back to the way they were operating a few years ago.” Read more.

The Wall Street Journal – Twitter’s Mobile Ads Begin to Click
June 29, 2012: Twitter, which is closely held, declined to specify its ad revenue. But eMarketer Inc. expects Twitter to produce $259.9 million from advertising this year, up from an estimated $139.5 million in 2011. The research firm and other analysts don’t break out Twitter’s revenue forecasts from mobile devices. Read more.

Financial Times – Twitter Is Now a Mobile-First Company, Says CEO
June 29, 2012: As a result, in the few months since Twitter launched mobile advertising, income from smartphones has often surpassed the desktop. The WSJ reported on Friday that the majority of its revenues – estimated at $260m this year by eMarketer – now comes from mobile on “most days”, with one advertiser describing the results of its campaigns as “staggering”. Read more.

Reuters – Zynga Plans to Build a Gamers’ Social Network
June 27, 2012: “One of the worries is that the whole idea of social gaming seems to be waning somewhat,” said Paul Verna, a gaming analyst at eMarketer. “There doesn’t seem to be a lot of growth left, and the idea of unveiling another Ville game or FarmVille 2 – I don’t get the sense that’s very exciting to the financial investors.” Read more.

TIME – Facebook Banker Morgan Stanley ‘Likes’ — But Doesn’t Love — FB Stock
June 27, 2012: “We view Facebook’s mobile transition as a near-term headwind but long-term opportunity, and investors that believe in Facebook’s ability to execute over the next several years may be rewarded when the mobile monetization gap (between time spent and ad spend, currently at 10% vs. 1% per eMarketer) narrows or closes.” Read more.

Advertising Age – Mobile Payments Could Be a Gold Mine, but Need a Jump Start With Consumers
June 25, 2012: Still, many brands have jumped on the mobile-payments bandwagon. Adam Brotman, vice president and general manager of digital ventures for Starbucks, told eMarketer last year that the company has accumulated “more than three million payments made via mobile phones in the first nine weeks of [its mobile payments] program’s nationwide launch.” Read more.

Advertising Age – AOL Brings Devil Ads to Mobile Phones and Tablets
June 27, 2012: That statement also points to the fact that no one has yet nailed mobile advertising. There is money being made — the industry is expected to generate $2.6 billion in revenue this year, according to eMarketer — but there is also considerable debate about whether mobile advertising spend will ever match mobile usage. Read more.

Forbes – How Retailers Can Replicate the ‘Magic’ of the Apple Store… Online
June 26, 2012: Fashion & Apparel is the second largest category in online retail with estimated 2012 revenues of $41.0B and eMarketer projects it to be the fastest growing category for e-commerce by 2015 with an average annual growth rate of 17.3% reaching $64.8B. Read more.

Posted on July 13, 2012.    

Sports Fans Continue the Conversation Online

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Brands seek opportunities outside the commercial breaks

NEW YORK, NY (July 6, 2012)— According to a new report from eMarketer, much of the sports fan’s lifestyle has gone digital—getting scores via smartphone, following a player’s Twitter feed, or reading and commenting on sports-related blog posts. In the digital age, there’s a wide world of sports opportunity available to marketers, and it’s not confined to television on Sunday afternoons.

A new report from eMarketer, “Sports Fans Online: Examining the Digital Element of the Total Fan Experience,” analyzes findings from dozens of third-party research providers and interviews with television and advertising executives, brands, and professional sports teams, exploring the digital opportunities for brands looking to connect with fans online, including:

  • How big is the sports fan population in the US, and which sports get the most attention?
  • What role does digital play in an environment that seems dominated by TV, and what openings does this create for marketers?

“About six in 10 adults call themselves sports fans, according to a 2011 Marist poll, and they have made digital usage an important aspect of fan life,” says eMarketer. “For marketers, the growing array of sports-related activity creates multiple opportunities to reach fans. Digital marketers have a chance to piggyback on the active interest sports inspire in people, well beyond the games themselves.”

Key Takeaways from “Sports Fans Online: Examining the Digital Element of the Total Fan Experience”:

  • Despite the proliferation of mobile devices, TV is still the screen that matters most to fans.
  • The real action is during the game, but social media is giving fans a platform to stay engaged before, during and after, and smartphones make it easy to do so at any time of day.
  • Digital media surrounding sporting events is augmenting the social element of being a sports fan by connecting fans around the world.
  • The sheer number of fans combined with the myriad ways they supplement their fan experience online gives marketers ample leeway to align themselves with sports.

Brands’ digital activity may not get the media attention lavished on Super Bowl TV spots, but it offers an invaluable year-round opportunity to connect with fans.

About eMarketer
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Posted on July 6, 2012.