Growth of Google Display

Will the introduction of Google+ help Google’s display growth? We all know they rule the search space but Google has taken significant strides the last few years to increase their market share of display ads.  Helping this charge has been the increasing use of display by automotive and financial services verticals. They have nearly doubled their impressions on image, flash, and expandable ads last year. This strong increase bodes well for Google considering these two industries have been hit hard with the recession.

With Google’s diverse clients doing mainly search it will be easier for them to package display with it as well. About 99% of the largest 1,000 advertisers on Google run both search and display ads.

In the past, display ads have been primarily dominated by Yahoo Inc. and Facebook Inc. Facebook will soon surpass Yahoo for the top spot. The U.S. display advertising market is smaller than the search ad market, but growing rapidly. Advertisers are expected to spend $12.3 billion on online display by the end of this year compared to $14.4 billion on Internet search ads, according to eMarketer.

Analysts predict Google will be up 34% year over year to 9.3% share in the U.S. display ad market. For comparison, Facebook will near 18%.

Google + which launched in June, does not yet host ads but will soon compete. Google+ has millions of users already and is only a matter of time before they enter the display arena. Will Google take over the top spot in display by the end of 2012? Only time will tell.

 

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