Social
Media advertising revenue is expected to surpass $8 billion by 2015,
according to BIA/Kelsey's U.S. Local Media Annual Forecast.
BIA/Kelsey
predicts that ad spending will rise from $2.1 billion to $8.3 billion
in the next five years, representing a compounded annual growth of
31.6%. BIA/Kelsey states that $7.7 billion of that will go to display
ads, the most popular form of social media advertising, with Facebook
leading the charge. The other $600 million will come from non-displayed
formats, such as Twitter's "promoted products."
"It's
no surprise that Facebook commands a dominant share of all social ad
impressions served and ad revenues generated," said Jed Williams,
analyst and program director of BIA/Kelsey's Social Local Media (SLM)
practice. "As the social market leader, it already serves the most
display ad impressions of any digital company, surpassing both Yahoo and
Google."
BIA/Kelsey's complete forecast is available to clients of the company's SLM advisory service.
