Tuesday, March 26, 2013

Internet Ad Spending By Country

All around the world the Internet is beginning to expand further and grow deeper roots.  Below a chart of the top online ad spenders puts the United States in the expected #1 Spot.  China and Japan's presence near the top also make logical sense.  Regardless of the rankings, the importance of this table is the projection of continued growth year to year for all countries.  The growth of the internet is only going to continue, and with that growth comes the increase in online ad spending.  While other forms of advertising like the print medium diminish  I would expect the continued rapid growth of the online ad industry worldwide. 



Posted By: Alex Herko


Source:

GO-Gulf. "Global Online Advertising Spending Statistics." GO-Gulf. N.p., 2 May 12. Web. 26 Mar. 2013. <http://www.go-gulf.com/blog/online-ad-spending/>.



Internet Advertising Market Shares

Internet Advertising is a huge industry that has revenues in the hundreds of billions, however, like many other industries, only a few companies control a large majority of the market share.  Below is a graphic that illustrates that companies with significant shares of the Online Advertising Market:



It should be no surprise to anyone that Google controls a significant share of the market.  Moving forward, one would expect and increase in percentages of social networks shares, and for Google to maintain their supremacy in the Industry.


Posted By: Alex Herko

Source:

GO-Gulf. "Global Online Advertising Spending Statistics." GO-Gulf. N.p., 2 May 12. Web. 26 Mar. 2013. <http://www.go-gulf.com/blog/online-ad-spending/>.

Tuesday, March 5, 2013

Ebay’s Plan to Stop Advertising Inside Mobile Apps


Ebay’s Plan to Stop Advertising Inside Mobile Apps



            Devin Wenig, Ebay’s president of global marketplaces, has decided to stop advertising inside mobile apps. He is quoted saying that, “It’s not worth it”. Luckily for Ebay, the revenue generated from mobile app advertisement is not needed as Wenig explains by saying “We don’t need the money”. Not many companies are in this situation, which Wenig knows quite well due to his prior experience as CEO of Thomson Reuters Markets. However, getting out of the mobile app market, Ebay still plans on establishing a commanding presence in the app world, as it has already accomplished with over 100 million Ebay app downloads in four years. This year the company “expects to transact more than $10 billion in mobile volume from its apps” (Duryee). 
         The reason behind jumping ship on mobile app advertising lies with customer experience. Wenig explains that the user experience was not as favorable as it could be, in large part due to the bothersome ads that took away from the real issue at hand; buying and trading products online. In my personal opinion, there is nothing that frustrates me more than an app covering half my phone’s screen. Why sacrifice customer satisfaction for a slight increase in revenue from app advertising? This is the dilemma facing many mobile advertisers. It can be a double edge sword.
            I believe the strategy taken by Ebay was an ideal one. They experimented with app advertising without throwing all their eggs in one basket. When they found that the ads were hurting their image as a smooth, easy to use online trader they decided to exit the market and find revenues elsewhere. I say well done.

Tyler Williamson

Duryee, Tricia. "eBay to Stop Advertising Inside Mobile Apps: “It’s Not Worth It."." All Things. (2012): n. page. Web. 5 Mar. 2013. <http://allthingsd.com/20121219/ebay-to-stop-advertising-inside-mobile-apps-its-not-worth-it/>.
        
Reed, Frank. "eBay Will Stop Advertising In Its Mobile Apps In 2013." Marketing Pilgrim. (2012): n.    page. Web. 5 Mar. 2013. <http://www.marketingpilgrim.com/2012/12/ebay-will-stop-advertising-in-its-mobile-apps-in-2013.html>.