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Facebook to Yank Google’s Newly Won Display Crown?

Written on
Jun 21, 2011 
Author
Gavin Dunaway  |
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Facebook to Yank Google’s Newly Won Display Crown?

ADOTAS - According to IDC, Google may have stolen the U.S. display crown from Yahoo! during the first quarter of 2011, but eMarketer doesn’t believe the company will keep it very long. Predicting 89% growth in U.S. display revenue this year, eMarketer believes Facebook is set to rule display with $2.19 billion in revenue.

And the social network is actually slowing down: eMarketer estimates growth from 2009 to 2010 was 117%, and the growth to 2012 will be only 31.3%. Still, Facebook is expected to take a 17.7% cut of U.S. display revenue in 2011 and 19.4% in 2012. Yahoo! will play second fiddle for the next two years, with its share dropping from 14.4% in 2010 to 13.1% in 2011, and then slipping again to 12.5% in 2012.

Google is only estimated to bring home a 9.3% slice of the pie this year and a 12.3% one next year. While eMarketer saw Google’s display revenue grow 140.5% from 2009 to 2010, the search giant is only going to get 34.4% bump this year before a 58.3% hike in 2012.

“Display revenue growth at Google will come from three main sources: large advertisers who are already Google customers, the range of SMBs who have relied on search for years but are looking to expand their reach, and brand marketers looking to YouTube to widen their video advertising reach,” said David Hallerman, eMarketer principal analyst. “Google is looking to make display a natural extension of search.”

Yup, and they’ve already had a fair deal of success with that according to IDC. Those Google numbers just seem low– it’s almost as if eMarketer believes Google has already talked a lot of its SMB search clientele into joining the display game. And also there’s the AdMeld acquisition, which I explained could be quite the boon to revenue on the publisher side if it’s approved — eMarketer seems to have accounted for this with an increase in revenue growth between 2011 and 2012.

I’d take these predictions with a large grain of salt — I don’t think Google’s display prowess has been given enough credit.

One final interesting note — the top five display companies (Facebook, Yahoo!, Google, Microsoft and AOL) are predicted to own a little less than half the display market this year and 52.9% next year. Is the display pond drying up?





Reader Comments.

Can you imagine both GOOG, MSFT & Facebook et al (social),in a one big (global) retargeting marketplace?

http://tinyurl.com/3bw9kh5

Posted by Ross Bradley | 3:54 am on June 21, 2011.

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