Important statistics: Meta will account for a far larger share of U.S. digital advertising spending (21.3%) this year than YouTube (5.6%) or Netflix (0.3%), according to our June 2024 forecast, despite accounting for a nearly equal share of time spent on digital media in the U.S., according to our June 2024 forecast.
Beyond the diagram:
- Despite user complaints about the increasing number of ads on its platforms Like Instagram, Meta also reported an increase in usage in the second quarter. The number of users in Meta’s apps increased by 7%, while impressions and price per ad each increased by 10%.
- In contrast, connected TV (CTV) spending on platforms such as Netflix And YouTube– where consumers also spend a significant amount of their time digitally – is not keeping pace with consumers’ shift from linear to digital.
- Meta has built an outsized share of ad spend by enabling trackable ROI and easy ad placements. In CTV, however, the advertising industry has been slow to respond to the time consumers spend
Use this diagram:
- Identify underserved platforms with high engagement.
- Align digital advertising spend with user engagement.
- Consider the ROI of platforms based on time spent.
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Note: Time spent on each medium includes multitasking; for example, 1 hour of multitasking on a mobile phone while watching TV is counted as 1 hour for mobile and 1 hour for TV. Figures are rounded to the nearest minute. Estimates of average time spent on media are based on the number of users of each medium. Digital advertising spend includes banner ads and others (static display ads such as Facebook’s News Feed Ads and X’s Promoted Posts), classifieds, email (embedded ads only), mobile messaging (SMS, MMS and P2P messaging), rich media (including in-stream and outstream video ads), search advertising (including contextual text links, paid inclusion, paid listings and SEO), sponsorships, lead generation (referrals); 2017-2022 rich media data includes in-stream and outstream video ads; data prior to 2017 includes outstream video ads only. The digital advertising spending figures for Meta, TikTok and YouTube are estimates from EMARKETER.
Methodology: Time spent estimates are based on analysis of estimates from other research institutes, consumer media consumption trends, device usage trends, company reports, primary research, and interviews. Advertising spend estimates are based on analysis of various elements related to the advertising spend market, including macro-level economic conditions, historical advertising market trends, historical trends of each medium relative to other media, reported revenues from major advertising publishers, estimates from other research institutes, data from benchmark sources, consumer media consumption trends, consumer device usage trends, and EMARKETER interviews with executives from advertising agencies, brands, media publishers, and other industry leaders.
