Online Ad Revenue Statistics for 2024

With the significant number of people spending time online and shopping on the internet, it’s little wonder that companies are picking up on the new reality and beginning to spend more on online advertising.

With that in mind, you may be curious to learn more about online ad revenue numbers and how successful internet advertising can be.

In 2024, some $740.28 billion is expected to be spent on digital advertising. It is rapidly becoming one of the most important and valuable forms of advertising because of the popularity and growth of digital platforms. 

If you want to get your product or business noticed, you must have a plan for advertising products online and increasing your ad expenditures. Overall, the consensus is that digital advertising and running online ads are here to stay.

This means that you have the chance to make some money and revenue from them, but only if you can beat the ever-growing competition.

Statistics on Online Ad Revenue: Editor’s Choice for 2024

• 91% of businesses use video as a marketing tool in 2023.
• Digital advertising revenue is expected to reach $484 billion by the end of 2023.
• Internet advertising revenues in the United States reached $209.7 billion in 2022.
• Short video ad spending is expected to reach $88.06 billion by the end of 2023.
• In 2023, the mobile advertisting market will reach $175.62 billion.

Meta, Amazon, and Google hold the largest share of total US digital ad spending in 2023.

(Statista)

These tech giants were among the biggest winners once again, and it seems this trend may continue in the future. According to Statista, the three companies contributed to 59.5% of all US digital ad revenue in 2023.

The total amount spent was $271.2 billion, meaning that Facebook, Amazon, and Google raked in a combined $161.36 billion this year

While the numbers may seem like bad news for other companies trying to break into the digital ad market, it's worth noting that the total amount spent on digital ads has been growing steadily for years.

In fact, it is projected that the total US digital ad spending will break the $300 billion mark by the start of 2025.

70 to 80% of users ignore sponsored search results.

(Search Engine Land)

While online ads may seem everywhere, internet advertising data reveals that many users simply tune them out. In fact, a study by Search Engine Land found that around three-quarters of users completely ignore sponsored search results.

This means that even if your ad is placed front and center on a search engine page, there's a good chance that the average user will never even see it.

Another thing we learned from these statistics is that 50% of search queries consist of four or more words.

So, although many marketers focus on keyword optimization and getting their ads to show up for short, common queries, they should also target longer, more specific phrases people are actually searching for.

Videos get shared 1,200% more than links and texts combined.

(Forbes)

Videos are one of the advertising trends on the rise and the way to go if you want to get your brand or product in front of your target audience and get them to pay attention.

As a matter of fact, videos are shared 1200% more than links and text combined. This number should be no surprise when you consider how engaging, and visually appealing video content is.

Digital advertising is a huge industry, and it's only going to get bigger in the years to come. As a marketer, it's essential to stay up-to-date on the latest trends and statistics to make sure your campaigns are as effective as possible.

Almost 91% of all pages have no organic search traffic.

(Ahrefs)

Based on the survey Ahrefs, 90.63% of all pages get zero traffic from Google. The study also showed that around 5.29% get ten or fewer visits per month. That leaves less than 5% of internet pages with an actionable amount of visitors and clicks each month.

These findings show that although internet advertising revenue is on the rise, there is still a lot of room for improvement in terms of getting organic traffic to sites. This is where SEO comes in.

If you want your website to be one of the few that gets organic traffic from Google, you need to make sure you're doing everything you can to optimize your site for its search engine.

Mobile devices account for 63% of YouTube viewing time.

(Statista)

Desktop users come in second, accounting for 12% of all YouTube viewing time.

The remaining percentage is attributed to other devices, such as tablets, gaming consoles, and connected TVs. This is important to keep in mind when creating video content, as more and more people are watching videos on their phones.

If your videos and video ads aren't optimized for mobile viewing, you could be missing out on a large portion of your potential audience, ​​as mobile digital advertising is most likely to continue growing in popularity.

91% of businesses use video as a marketing tool in 2023.

(Wyzowl)

Videos are a powerful marketing tool, and it seems that more and more businesses are starting to realize this. In fact, 91% of companies use video as a marketing tool this year.

This information is especially important for small businesses, as video can be a great way to reach new customers and promote your products or services.

Spending on social media advertising is projected to reach $207.10 billion in 2023.

(Statista)

Social media advertising is one of the most popular and effective forms of digital marketing. It allows businesses to reach a large audience for a relatively low cost, and it's a great way to build brand awareness and create an engaged community around your product or service.

Based on Statista's projections, global spending in the social media advertising sector will grow at a 4.53% CAGR by 2027, to a projected volume of $247.30 billion.

Mobile searches for “best” have grown 80% in the past few years.

(Think With Google)

A study conducted by Think With Google revealed that the word "best" has become increasingly popular among mobile users searching for products and services. 

This is a clear indicator that people are becoming more selective when choosing what they want to buy, and they are looking for the best possible option before making a purchase. Interestingly, 90% of in-store shoppers use their mobile devices while shopping to compare prices and look for product reviews.

Mobile ad spending hit a record-breaking $360.33 billion in 2023.

(Statista)

Mobile advertising is on the rise, and it's not showing any signs of slowing down. In 2023, mobile advertising spending increased by 10.15% from 2022 when it was a bit over $327.13 billion.

Several factors contributed to the growth of mobile advertising, such as the increase in smartphone ownership and usage and the rise of popular social media platforms like TikTok, Snapchat and Instagram.

If you're not already incorporating mobile advertisements into your marketing strategy, now is the time to start.

In 2023, mobile ads made up nearly 70% of all internet advertising.

(IAB)

If you’re not spending your money on mobile ads, you’re missing out on a large segment of your potential audience and target market. Mobile advertising is one of the most popular forms of internet advertising, and it makes up for more than two thirds of all internet ad spending.

This is a solid increase compared to 2018 when mobile ads accounted for 65% of internet advertising revenue, and is projected to grow to 72% by 2027.

With more and more people using their smartphones to access the internet, it's no surprise that mobile advertising is becoming increasingly popular and effective. If you're not already using this niche, you really ought to start.

Internet advertising revenues in the United States reached $209.7b in 2022.

(Statista)

According to the latest data, internet ad revenues improved by 10.77% compared to 2022, primarily due to increases in mobile and video advertising.

Statista's research also shows that internet ad spending continues to grow faster than traditional ad spending, which is another indication that businesses need to start shifting their focus to digital marketing.

Connected TV ad spending is projected to reach $29.79 billion in 2023.

(Statista)

The market is also expected to grow by a 12.41% CAGR until 2027, leading to a projected volume of $47.56 billion by the end of that year.

The retail industry spends 27.9% of the total digital ad spending in 2023.

(eMarketer)

The latest data indicates that the retail industry is spending more on digital advertising than the five lowest industries do combined, and is also expected to be the second-largest industry in terms of annual growth in ad spending this year.

Mobile in-app ad spending in the United States is projected to reach $177.4 billion in 2024.

(eMarketer)

This will represent a 11.4% increase from 2023, when the total in-app ad spending is at $159.24 billion. 

Digital audio advertisement market spending is expected to be over $6 billion in 2024.

(Statista)

Spending in the digital audio advertisement space has grown by 13.8% compared to the year before. By 2027, it is expected that over 80% of all ad spending in this market will be generated through mobile devices.

Ad Spending & Revenue

It may be no surprise that video content works and grabs viewer attention more than other advertising methods. Advertising spend for video content was $176.60 billion in 2023, and is expected to grow at a 6.80% CAGR by 2027, reaching $229.80 billion.

Led by TikTok and others, short video ad spending is expected to reach $88.06 billion by the end of 2023. This number is expected to grow rapidly over the next few years, and is projected to reach $134.10 billion by 2027.

Online advertising in the US generated total revenue of nearly $210 billion in 2022. Since 2009 the US internet ad revenue has increased steadily and has grown by around 10.8% compared to 2021. 

According to the latest projections, digital advertising revenue will amount to more than $484 billion by the end of 2023.

Advertisers continue to work mobile marketing into their overall marketing strategy. The growth in mobile advertising is particularly impressive. In 2023, the mobile advertisting market will reach $175.62 billion, and is expected to reach an incredible $750.21 billion by 2030.

Ad spending in the digital space is now expected to reach a staggering $1.2 trillion by 2027.

Online Ad Revenue in the US

The average person is now estimated to encounter between 4,000 to 10,000 ads every day. As such, it’s clear that online advertising is growing rapidly in the US, and with that growth comes increased online ad revenue.

People are spending more time on their phones, and social media advertising revenue follows suit, earning big companies like Meta and Google enormous amounts of money.

Online advertising is close to traditional advertising but is more accessible and can easily reach millions of customers. It targets prospects using demographics and behavior analysis software.

Online opens up many new advertising avenues, too. For example, you can use ad networks, text ads, display ads, rich media ads, and in-text ads, to name a few.

Online advertising increases sales and revenue, too. How so? It targets users who are most likely to benefit from the service or product. Your local business is visible online with digital advertising, and it’s targeted to the right people.

Platforms like Meta and Google allow for advanced targeting as well. This puts a local business in front of consumers, who are more likely to become future buyers.