In 2022, global internet advertising revenue stood at 484 billion U.S. dollars. The source projected the revenue would increase to 663 billion by 2027.

Internet advertising in the U.S. – additional information

Internet or online advertising encompasses a range of formats including email, search engine, social media, display and mobile advertising. Display advertising uses pictures, videos, text and graphics to target consumers and ads are usually matched with potential consumers through the use of cookies.

The leading internet display advertisers in the United States in 2014, were ranked regarding their measured advertising spending. The resulting list, which only took into account spending on digital display advertising, saw Comcast ranked first. The American mass media company, founded in Mississippi in 1963, spent 215.9 million U.S. dollars on online display advertising in 2014. The runner up to Comcast was the Texas based telecommunications company AT&T with a spending of 168 million U.S. dollars.

The investments made in online advertising have grown substantially in the recent past. The revenue generated by online advertising in the U.S. has been recorded from the first quarter in 2007 to the fourth quarter of 2015. In the first quarter of 2007, online spending revenue amounted to 4.9 billion U.S. dollars. By the fourth quarter of 2013, this figure had risen to 12.11 billion U.S. dollars, growing further to 17.38 billion dollars in the fourth quarter of 2015.

A breakdown of the online advertising revenue in the U.S. in 2015, by type reveals which forms of internet advertising was most invested in, and perhaps deemed the most useful to a company operating online. It was revealed that search advertising, which increases a website or company’s visibility on search engine result pages, held the largest share of online advertising with 34 percent. Banner and mobile advertising rounded off the top three.

Online advertising revenue in the United States grew by 7.3 percent in 2023 compared to 2022, from 210 billion to 225 billion U.S. dollars. The figure first surpassed 100 billion dollars in 2018 and 200 billion in 2022, owing to the emergence of new channels and formats including digital audio (podcasts and streaming) and digital video (streaming and CTV) as well as strong growth from retail media.

Online advertising at a glance  Search is the dominating internet advertising format in the United States, accounting for 41.4 percent of the country's digital advertising revenue. Display follows, accounting for 30 percent of ad revenue, while 21 percent is attributed to digital video ads. The largest revenue share came from the performance-based pricing model, where buyers pay for quantifiable user reactions to online advertising. Cost per click, sales and leads are a few examples of such reactions. Close to 63 percent of online ad revenue is generated via this type of pricing model, while 35 percent were priced based on cost-per-mille.

Consumer attitudes to online ads  In a 2022 survey it was found that 41 percent of U.S. were often annoyed by ads on the internet. Unsurprisingly, younger generations in the United States were more influenced by social media advertising when it came to making purchasing decisions.

In 2023, Google's ad revenue amounted to 264.59 billion U.S. dollars. The company generates advertising revenue through its Google Ads platform, which enables advertisers to display ads, product listings and service offerings across Google’s extensive ad network (properties, partner sites, and apps) to web users. Google advertising Advertising accounts for the majority of Google’s revenue, which amounted to a total of 305.63 billion U.S. dollars in 2023. The majority of Google's advertising revenue comes from search advertising. Google market share These revenue figures come as no surprise, as Google accounts for the majority of the online and mobile search market worldwide. As of September 2023, Google was responsible for more than 84 percent of global desktop search traffic. The company holds a market share of more than 80 percent in a wide range of digital markets, having little to no domestic competition in many of them. China, Russia, and to a certain extent, Japan, are some of the few notable exceptions, where local products are more preferred.

In 2023, the forecast for Facebook digital advertising revenues saw the Meta company generating 119 billion U.S. dollars by the end of the fiscal year. TikTok was projected to see its online advertising revenues hit 18 billion U.S. dollars. By comparison, LinkedIn advertising revenues were forecasted to reach approximately a third of that amount for 2023.

In 2023, Meta Platforms earned over 131 billion U.S. dollars in digital revenue through online advertising. In 2022, search market leader Google generated 224.47 billion U.S. dollars through digital advertising channels.

In 2021, online advertising spending in Germany stood at roughly 12 billion euros. Between 2022 and 2027, the spending is expected to increased at a compound annual growth rate (CAGR) of 4.52 percent and exceed 15 billion euros at the end of this period.

After years of constant growth, online advertising revenue in the United States reached 64.5 billion U.S. dollars during the last quarter of 2023. This figure represents quarter-on-quarter growth of 12.3 percent and can be linked to the upward trend in advertising efforts during the holiday season.

Digital advertising in the United States is reaching new heights

In 2023, online advertising revenue in the United States amounted to 225 billion U.S. dollars. This record figure marked a year-over-year increase of 7.3 percent. As the leading digital advertising market in the world, the United States has also seen a steady rise in digital ad expenditure over the last few years, which is not surprising, as many of the companies behind the world’s largest digital ad platforms are headquartered there.

Which formats are driving online ad revenue growth?

Among the various types of digital advertising, search and banner campaigns account for the highest share of online ad revenue in the United States. While these two formats have been the most profitable avenues for digital marketers in the past, new channels and formats are attracting the attention of advertisers and reshaping the distribution of digital advertising budgets. As such, U.S. ad spend on social media, digital video, and mobile channels is forecast to increase at a fast pace in the following years.

In 2023, roughly 40 percent of online ad revenue in the United States was generated through search advertising. Slightly less a third of the revenue came from digital static display ads that year.

Digital advertising in the United States

In 2023, online advertising in the United States generated a total revenue of about 2225 billion U.S. dollars. U.S. internet ad revenue has been increasing steadily since 2009 and in the last measured year by about seven percent compared to 2022. Search was the most invested-in digital ad format, commanding 40 percent of the market, followed by display with 30 percent, and video with 23 percent. Audio was the fastest growing digital ad format, at 21 percent year-on-year, however with a market share of three percent.

Mobile's king Out of 210 billion dollars revenue generated by digital advertising in 2022, roughly three quarters came from mobile ads. The exactly split between mobile and desktop revenues was 154 billion to 56 billion in 2022. The share generated by mobile has been increasing year on year for the last decade, as has the share of digital in total advertising spending.

In 2023, Google accounted for an estimated 26.8 percent of the total digital advertising revenue generated in the United States and was the largest digital ad publisher in the country. Facebook and Amazon followed, with 21.1 and 12.5 percent, respectively.

Over the year 2023, the online advertising revenue of VK, the Russian internet company formerly known as Mail.ru Group, reached nearly 80 billion Russian rubles, marking a roughly 40 percent increase relative to the previous year.

In 2021, Google generated nearly 62 billion U.S. dollars in revenue with its advertising products and services. The revenue is expected to increase further to reach 81 billion dollars by 2024.

China has become the second largest market for internet advertising. In 2021, its internet ad spending was estimated to surpass 100 billion U.S. dollars. The figure was expected to increase by an annual compound growth rate of 13.1 percent until 2026.

Significant fluctuations are estimated for all segments over the forecast period for the ad spending. Only in the segment Video Advertising Mobile, a significant increase can be observed over the forecast period. In this segment, the indicator exhibits a difference of 152.3 billion U.S. dollars between 2019 and 2028. Find further statistics on other topics such as a comparison of the ad spending in Russia and a comparison of the ad spending in the United Kingdom. The Statista Market Insights cover a broad range of additional markets.

In 2023, around 2.1 trillion South Korean won were spent on internet advertising seen on computers. This represents a slight increase from the previous year. Spending was forecast to increase over the next two years. Spending on online advertisements has simultaneously been growing, and has shown no signs of slowing down. In 2023, most of this spending was for mobile ads. YouTube’s advertising dominance YouTube dominates the online advertising space in South Korea, with a potential advertising reach of around 44 million people as of January 2024, far surpassing other social media platforms. This was followed by Instagram, showing a trend favoring video and image-based social media platforms over more traditionally text-based ones. While the preference for YouTube and Instagram is reflected in spending on online video ads, such types of ads came second in terms of overall spending on different online ad formats. The rise of influencer advertising A 2023 survey found that over 45 percent of respondents had purchased influencer-endorsed products, with YouTubers being the most common type of influencer people bought products from. This further aligns with the platform’s overall success as a social media marketing medium. While spending on influencer advertising was low overall in South Korea, the fact that entertainment value was the main driver for clicking on social media ads in 2023 is a useful foundation for the potential expansion of the influencer sector.

In 2021, Amazon was expected to account for eight percent of the global digital advertising revenue and the figure was projected to increase to over 13 percent by 2026. In the same period, Amazon's ad revenue is forecast to increase from 26 to 85 billion U.S. dollars.

In 2022, mobile advertising revenue in the United States was expected to grow by 15.2 percent compared to 2021, while total digital media was projected to grow by 11.1 percent.

Digital ad spending

The United States was projected to spend 191 billion U.S. dollars on advertising in 2021. With each consecutive year, this amount was expected to grow, before reaching an estimated 279 billion U.S. dollars in 2024. The fastest-growing medium – digital – was projected to reach a 60 percent-share by 2022.

Views on online advertising

Many internet users find ads on websites annoying. Between 2021 and 2022, about 41 percent of American internet users aged between 18 and 64 held a negative viewpoint towards them. Specifically, internet users felt more agitated by advertising in online video clips, compared to ads on websites in the second quarter of 2020. Roughly six out of 10 respondents said they disliked seeing ads in online videos, compared to 47 percent who said the same about ads on webpages.

In 2024, Google was forecast to generate 190.5 billion U.S. dollars in global online advertising revenue, securing the tech giant's top spot among leading digital ad sellers worldwide. This was followed by Meta with an ad revenue of 146.3 billion U.S. dollars, while Amazon clinched bronze with a revenue of 52.7 billion.

In 2023, internet advertising revenue in Canada reached nearly 16 billion Canadian dollars, of which approximately 7.4 billion came from search ads alone. Social media and video rounded up the top three digital formats with revenues of 4.28 billion and 1.87 billion Canadian dollars, respectively.

In 2023, online advertising spending in Germany increased by seven percent. The source projected that the expenditure would keep increasing in the following five years. However, the growth rate is projected to steadily slow down.

Over the last two observations, the ad spending is forecast to significantly increase in all segments. As part of the positive trend, the indicator achieves the maximum value across all four different segments by the end of the comparison period. Notably, the segment Search Advertising stands out with the highest value of 188.56 billion U.S. dollars. Find other insights concerning similar markets and segments, such as a comparison of ad spending in the United States and a comparison of average revenue per user (ARPU) in the United States. The Statista Market Insights cover a broad range of additional markets.