In this series, we reflect on notable trends in the ever-evolving digital marketing world. What stuck out to us in the second quarter of 2018?
1 Google and Facebook’s digital ad duopoly is waning
While Google and Facebook continue to account for a combined majority of the digital ad market, their collective percentage of growth is decreasing in comparison to smaller platforms with more room to grow. The tech giants’ market share is anticipated to fall from 58.5% to 56.8%. Google and Facebook’s share of new ad dollars is also anticipated to drop from 73% in 2016 to 48% in 2018. Amazon and Snapchat are positioned to grow the fastest.
2 Multitasking with multiple screens
More than 70% of the U.S. adult population will regularly use another device while watching TV this year, according to a study from eMarketer. That’s up from just 5% in 2016. Notably, a 2017 study of cross-platform viewing found that Twitter had on average a 6% higher reach than other social media. This is in no way scientifically proven, but I can’t help but think that users live-tweeting “The Bachelorette” accounted for some of this.
3 Privacy concerns haunt Facebook
In April, Mark Zuckerberg testified in front of Congress regarding the spread of fake news and propaganda ads across the platform. He announced changes to how Facebook handles customer data, tracking, and measurement. The updates coincided with the European Union’s General Data Protection Regulation (GDPR), which set new rules for how data is used in the EU. The continuing controversy over privacy, coupled with declining growth in users and revenue, contributed to Facebook having the biggest-ever one-day loss in market value for a U.S.-listed company.
Be on the lookout for our next quarterly update to see how these trends develop as we move into fall.