Internet Ads Leading The Way (Channel Check)

percent advertising by channel - tv, social media, youtube, radio, websites, search engines

“Innovation is the only way to win.” – Steve Jobs

Advertising has long been a way for businesses to reach consumers… and its importance remains relevant today. But the channels are changing.

Prior to the advent of the internet, this meant paying for advertisements over mediums like print (newspapers & magazines), television, radio, and even outdoor billboards.

In Statista’s recent Global Consumer Survey, they surveyed 25,000 U.S. adults and 68% reported seeing ads on television in the past month. Social media comes in close behind with 57% of respondents. Radio came in at 47%.

The Ads of the Future

The value that internet-based advertising has provided to businesses is the ability to run targeted ad campaigns on a budget. Prior to the internet, taking out ads on mediums like newspapers was not only expensive but there was no guarantee of a return on the advertiser’s investment.

Companies like Facebook (FB) and Google (GOOGL) have been leading the race, eating up the vast majority of internet dollars. Both are also pushing into e-commerce ads, which can enable consumers to make a purchase without ever leaving the platform – this can dramatically improve outcomes.

other platforms like Spotify (SPOT) and Snapchat (SNAP) are also focusing on the advertising space but are relatively smaller players.

Aside from this, it’s interesting to think about what new mediums may come to life. VR/AR and even video games can provide a viable way for advertisers to reach consumers.

Twitter:  @_SeanDavid

The author or his firm have positions in mentioned securities at the time of publication. Any opinions expressed herein are solely those of the author, and do not in any way represent the views or opinions of any other person or entity.

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