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Archive for August, 2012

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About
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.

Employees
120+

Key Facts
Founded in 1996.
More than 150 eMarketer reports are scheduled to publish in 2012.
Dedicated coverage of nearly all major markets and regions worldwide.
Over 90% renewal rate among corporate subscribers.
Corporate subscribers include, as of July 2012:

  • Over 750 corporate subscribers in 70 countries
  • Two-thirds of Fortune 500 companies
  • 21 of the top 25 global advertisers
  • 9 of the top 10 global agencies
  • 16 of the top 20 global media companies

eMarketer.com has an average unique monthly audience of 180,000 marketing and media decision makers. The eMarketer Daily Newsletter has over 120,000 subscribers.

Headquarters
75 Broad St, 31st FL.
New York, NY 10004

Offices and Subsidiaries
New York City
London

Posted on August 31, 2012.    

eMarketer in the News: August 31, 2012

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The New York Times – Market Research Firm Curtails Its Forecast for Facebook
August 30, 2012: On Thursday came a reality check on Facebook’s potential to improve revenue when the market research firm eMarketer, which like many others, had been superbullish about Facebook’s profitability, tamped down its estimates from earlier this year. Read more.

Financial Times –Twitter Ads to Target Interests
August 30, 2012: Debra Williamson, social media analyst at eMarketer, said Twitter’s new capabilities were similar to the ad targeting that Facebook has offered for several years. Read more.

Advertising Age – eMarketer Lowers Facebook 2012 Revenue Estimate to $5 Billion
August 30, 2012:In February, eMarketer predicted Facebook would book more than $6 billion in sales in 2012. Today they’re saying just a hair over $5 billion, with $4.2 billion from advertising and $811 million from payments and other revenue. Ad revenue is expected to grow 35.9% in 2012 and 31% in 2013. Read more.

The Associated Press – Twitter Unveils New Targeting Tool for Advertisers
August 30, 2012: As it mixes more marketing message into the flow of people’s tweets, Twitter’s annual revenue is expected to more than double to $540 million in 2014, according to eMarketer.< Read more.

Bloomberg – Facebook 2012 Revenue Estimate Is Reduced By eMarketer
August 30, 2012: Facebook may post $5.04 billion in sales this year, eMarketer estimated, down from the market researcher’s earlier projection for $6.1 billion as the biggest social network struggles to sustain advertising growth. Read more.

Forbes – There Is No Holiday From Facebook’s Stock Fiasco
August 31, 2012: Indeed, research firm eMarketer on Thursday cut its 2012 estimate for Facebook sales by $1.1 billion to $5.04 billion. Read more.

Forbes – Poof! $1 Billion Slashed From 2012 Facebook Revenue Forecast
August 30, 2012: Facebook‘s revenues, particularly from advertising, won’t grow as fast as expected this year, according to a revised forecast from market researcher eMarketer. Read more.

Agence France Presse – Wall Street finit en baisse, frileuse avant le discours de Bernanke
August 30, 2012: Facebook a lui lâché 0,06% à 19,09 dollars alors que le cabinet d’analyse eMarketer a revu à la baisse ses estimations de chiffre d’affaires de l’entreprise pour l’année 2012, à 5 milliards de dollars contre 6 milliards auparavant. Read more.

Los Angeles Times – eMarketer: Facebook Revenue to Grow More Slowly than Expected
August 30, 2012: Analysts are getting less bullish on Facebook’s prospects of kick-starting advertising growth. Research firm EMarketer on Thursday reduced its earlier projection for Facebook sales this year by $1 billion. Read more.

Posted on August 31, 2012.    

As Consumers Go Social to Talk TV, Marketers Take Notice

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Multitasking provides opportunity for engagement across devices

NEW YORK, NY (August 29, 2012)— When people socialize online, TV is one of their favorite topics, finds a new report from eMarketer. Awards shows and sporting events regularly drive huge spikes in Twitter activity, and millions of fans took to social to comment on the 2012 London Olympics.

The new report, “Social TV: Marketers Tune in to Deeper Integrations,” analyzes findings from dozens of third-party research providers and interviews with industry executives, answering key questions about how marketers can better integrate social media with TV-watching behavior, including:

  • How are consumers using social media in conjunction with TV programming?
  • What can marketers gain from participating in social TV offerings?
  • What have companies such as Coca-Cola, Hyundai and Capital One learned from integrating social media and TV?
  • How are the networks using social data in their TV ad-sales pitches and how should marketers view the value of this data?

According to Trendrr, an analytics company that aggregates publicly available social media commentary about TV and TV shows, in June 2012 there were more than 81 million conversations about TV on Twitter, Facebook and a host of other social media properties, including GetGlue, Miso and Viggle. In June 2011, there had been just 10.4 million, based on Trendrr’s tracking. Between 2011 and 2012, Trendrr began tracking 38 more TV networks, which is the reason behind the large growth. But even on an adjusted basis, comparing the same variables from year to year, the number of conversations still nearly tripled.

The rise of so-called “second-screen” and “third-screen” devices such as phones, tablets and laptop computers make it far easier for consumers to engage via social while watching TV. In a Nielsen study conducted in the fourth quarter of 2011, 47% of US tablet owners visited a social network while watching TV.

“While the true effect of social media on TV-watching behavior is difficult to gauge, it is clear that social TV in all its iterations is a business that the networks, social media companies and marketers are taking seriously,” 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 August 29, 2012.    

College Students Adopt Mobile across the Board

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Nine in 10 college students to own a smartphone by 2016

NEW YORK, NY (August 28, 2012)—A new eMarketer report finds that by the time the class of 2016 graduates, close to 90% of college students in the US will own a smartphone. Brands who reach this digitally savvy audience have the opportunity to mold mobile shopping behaviors—and in the short term, the chance to gain a share of students’ increased spending.

The new report, “College Students Put Mobile Marketers to the Test,” analyzes findings from dozens of third-party research providers and interviews with industry executives, answering key questions about how brands can best reach these mobile-centric students, including:

  • What percentage of college students own smartphones and tablets?
  • What type of digital content do they access?
  • How is mobile advertising perceived?
  • How are college students using mobile devices for shopping?

By years’ end nearly 70% of college mobile phone users will own smartphones. Despite the already high penetration levels of smartphone ownership among college students, eMarketer forecasts double-digit growth among the college set through 2015. By the end of 2016, eMarketer estimates nine out of 10 undergraduate students of all ages and enrollment types will own a smartphone, compared with 58.5% of the total US population.

The rate at which college students are buying tablets is surpassing that of smartphones: triple the number of backpacks were filled with tablets in January 2012 compared to the prior March. According to The Pearson Foundation, the nonprofit arm of testing company Pearson Education, 25% of US college students owned a tablet in January 2012, compared to 7% just 10 months earlier.

Marketers looking to reach this constantly connected audience need to hone their mobile efforts in order to be effective.

“Undergraduates are aware of and responsive to mobile ads. However, they’re quick to judge and are easily turned off by messages that are interruptive or irrelevant,” said eMarketer. “Marketers that push creative boundaries, deliver content that is fun to share and diversify the types of mobile ads used, will have the best odds of increasing engagement levels and brand perception among the college set.”

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 August 28, 2012.    

eMarketer in the News: August 24, 2012

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Advertising Age – Ad Age Releases First Mobile Marketing Fact Pack
August 20, 2012: While Apple, Google, Jumptap and others would like to turn the phone into a branding medium, search spending is expected to outpace display for at least the next several years, according to eMarketer. Global spending on banners and rich media is expected to reach $1.5 billion in 2013, while search goes up to $2.2 billion. Read more.

USA Today – Gannett Buys Social-Media Ad Company Blinq Media
August 21, 2012: Social-network advertising revenue is estimated to grow 48.5% this year to $7.7 billion, according to eMarketer. Read more.

Posted on August 24, 2012.    

Marketers Seek New Strategies as Facebook Changes

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Timeline, Sponsored Stories, and Reach Generator create opportunities for social media growth

NEW YORK, NY (August 24, 2012)— Facebook’s new Timeline layout and advertising options give marketers and brands new ways to connect with users on the site. But as Facebook grows, the relationship it has with companies is also evolving, a new report from eMarketer finds.

The new report, “Facebook Marketing: Reaching Consumers in a Changing Environment,” analyzes findings from dozens of third-party research providers and interviews with industry executives, answering key questions about Facebook’s changes and their impact on marketers, including:

  • How are the changes to Facebook affecting marketers’ strategies for the social network?
  • How are consumers responding to the new elements and the evolving marketing tactics on Facebook?
  • As Facebook matures as a website, is its relationship with brands and marketers advancing or regressing?

For years now, brands have been using Facebook for unpaid marketing, paid advertising or a combination of the two. By 2013, eMarketer forecasts that 86% of US companies with more than 100 employees will be using Facebook for marketing purposes. This is up from 83% in 2012 and 73% in 2011.

Facebook has introduced several new marketing tools in the past year, including the Timeline format for brand pages; Sponsored Stories, Reach Generator and other advertising offerings that incorporate regular posts; and metrics that go beyond counting fans, incorporating reach, sharing and engagement into measurements.

“Many of these updates improve on Facebook’s free tools,” said eMarketer. “But marketers beware: Subtle changes behind the scenes mean brands will need to incorporate paid advertising in the mix if they want to get much traction using Facebook’s free services.”

As Facebook continues to evolve as a company, its offerings for users and brands will mature as well. Marketers should pay the closest attention to Facebook’s mobile initiatives, improved analytics and enhanced user experience.

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 August 24, 2012.    

Mobile Creates New Opportunities for Email Marketers

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88% of mobile phone users check their email via a handheld device daily

NEW YORK, NY (August 20, 2012)— Though email increasingly competes with other digital channels for consumers’ time and attention, a new eMarketer report finds it continues to be an effective tool for marketers. Mobile and smartphone users are providing new opportunities for marketers as more people use handheld devices to check email.

The new report, “Email Marketing Benchmarks: Key Data, Trends and Metrics” analyzes findings from dozens of third-party research providers and interviews with industry executives, answering key questions about the opportunities and challenges email marketing presents, including:

  • What are the latest email marketing benchmarks for common metrics such as open rate and clickthrough rate?
  • How are mobile devices affecting email marketing?
  • How are email marketers using mobile optimization, data and other marketing channels in combination with their email marketing programs?

Email open rates in North America have risen in recent quarters, but clickthrough rates (CTR) have been slipping. Data from Epsilon and Email Experience Council for the last two years showed clickthroughs fell below 5% for the first time in the first quarter of 2012.

The low clickthrough rates can be attributed to an overall increase in email volume, according to Epsilon. To combat the flooding of inboxes, marketers are increasingly looking to mobile.

Email technology provider Return Path found 88% of mobile phone users checked their email via a handheld device daily, and 36% of emails worldwide were opened using a mobile device according to software company Litmus. Yet many marketers haven’t moved to optimize their messaging for mobile. StrongMail found that just 22% of marketers surveyed worldwide were using mobile-optimized templates, also as of April.

“Marketers that are diving into mobile email optimization have different goals and, as a result, their efforts represent different levels of ambition and complexity,” said eMarketer. “However, given the wide variety of mobile devices, some marketers are taking a more advanced approach to mobile email optimization by designing communications for each unique mobile experience.”

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 August 20, 2012.    

Proximity Worldwide Deepens Knowledge as It Rolls eMarketer Out to Global Offices

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NEW YORK, NY (August 20, 2012)—Proximity Worldwide this week began rolling out eMarketer insights on digital marketing, media and commerce to its offices and employees globally.

“In order to change the way people think about our clients, we have to dig deep into data to discover powerful ideas,” said Andrew Bailey, chairman of Proximity North America. “By pushing information from eMarketer to the fingertips of everyone in our organization, it’s that much easier to develop ideas that make our clients more valuable to consumers.”

The move comes after Proximity renewed its agreement for an eMarketer enterprise subscription last month, reaffirming its commitment to keeping employees across departments on the cutting edge of digital marketing.

Since becoming an eMarketer enterprise client last year, there has been high demand among Proximity employees for data on key digital trends. Now, those same employees around the world can easily access eMarketer anytime, added Bailey.

“Proximity has shown a real thirst for information that can help strengthen the relationship between its clients and consumers,” said eMarketer vice president David Iankelevich. “They have added hundreds of new users who all want access to the information eMarketer offers. It is gratifying to see.”

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 August 20, 2012.    

eMarketer in the News: August 17, 2012

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The New York Times – Google Plans to Buy Frommer’s Travel Guides
August 13, 2012: Local advertising revenue over all is expected to grow to $150 billion in 2016, from $132 billion last year, with the fastest growth occurring online and on mobile devices, according to BIA/Kelsey, a local-media research and advisory firm. Travel advertisers will spend $3.16 billion online this year, an increase of 23 percent over last year, according to eMarketer. Read more.

The New York Times – Twitter Changes Lead to Online Protests
August 17, 2012: Many described Twitter’s changes as inevitable, particularly as the company struggles to find a viable business model. Twitter has experimented with various revenue streams like sponsored tweets and advertising. But its revenue — eMarketer estimates Twitter will make $260 million this year — pales in comparison to that of Facebook, which generated a substantial chunk of its $3.7 billion in revenue last year from its profit-sharing arrangement with third-party apps like Zynga. Read more.

Wall Street Journal – With Frommer’s, Google Taps Gurus
August 14, 2012: The U.S.-based leisure-travel industry spent $2.56 billion on online advertising last year, up 40.6% from a year earlier, according to research firm eMarketer. Last year U.S.-based travelers spent more than $100 billion to book trips online, a figure that is expected to grow by around 10% annually, eMarketer said. Read more.

National Public Radio – Boosting Travel Options, Google To Buy Frommer’s
August 14, 2012: The search giant is trying to offer more robust travel related results and sell more ads. Listen here.

Reuters – Google to Acquire Frommer’s Travel Guidebooks
August 14, 2012:
U.S. online travel sales are expected to reach $119.2 billion this year, up from $107.4 billion in 2011, according to eMarketer. Read more.

Advertising Age – You Can’t Have Search Anymore Without Blending in Social
August 17, 2012: More broadly, the digital-advertising industry is poised to reach $39.5 billion in 2012, according to eMarketer, and will overtake TV advertising spend by 2016. Read more.

Crain’s – Building a Better Deal Site
August 17, 2012: Some 45% of business executives worldwide currently use mobile as a marketing channel, according to the research firm eMarketer. Of the remaining, 75% intend to start using it. Read more.

Agence France Presse – Google Buys Frommer’s Travel Guides
August 13, 2012: The amount of money spent on online advertising by the US travel and leisure industry was on pace to grow 23.3 percent to $3.16 billion this year, according to eMarketer. Read more.

Posted on August 17, 2012.    

New Forecast: Emerging Markets Lead World in Social Networking Growth

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Middle East and Africa, Asia-Pacific will exceed average growth rates

NEW YORK, NY (August 16, 2012)—Driven largely by Facebook growth worldwide and social networks in Asia, the number of social network users around the world will rise this year to 1.4 billion from 1.18 billion in 2011, according to a new forecast by eMarketer.

This near-20% increase is a slight drop from the rise in 2011, and growth rates will continue to moderate as the market matures.

The fastest growth will come from the emerging markets of the world, especially the Middle East and Africa (where the base of social network users remains small) and Asia-Pacific. Latin America will also grow its user base by 18.5%, slightly below the worldwide average.

eMarketer forecasts that Facebook will have nearly 826 million users around the world this year, up from 650.7 million in 2011. The 2012 figure will represent 58.8% of social network users, 36.4% of internet users and just under 12% of the total worldwide population.

It’s also important to note that Facebook maintains relatively low penetration in Asia-Pacific compared to the rest of the world, while competitors like Sina Weibo and Renren continue to grow in markets like China. Just 20.1% of internet users in Asia-Pacific use Facebook—compared to over 44% penetration in Western Europe, nearly 60% penetration in North America, and over 56% penetration in both Latin America and the Middle East and Africa.

Still, Facebook user growth will come fastest from Asia-Pacific, where adoption rates in India, Indonesia and Japan far exceed the worldwide average growth of 26.9% this year. The Middle East and Africa and Latin America will also post higher-than-average growth rates.

eMarketer forms its estimates of worldwide social network and Facebook users based on the analysis of survey and traffic data from research firms and regulatory agencies; Facebook company releases; historical trends; internet and mobile adoption trends; and country-specific demographic and socioeconomic factors.

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 August 16, 2012.