Couple of charts showing ad spend rate throughout the next few years. The amount of spend has dropped off from the initial rates forecast last year, as monetization has dropped off

At $1.4 billion, social network advertising will make up 5.5% of total US online ad spending this year. However, after 2010 eMarketer projects that social network sites will receive a lesser share of total spending, falling to 5.1% in 2012 after a peak of 6% in 2009-2010.
It seems as though the major social networks are not doing as good a job for marketers as other websites that cater to specific types of visitors. These large Social networks are akin to general audience advertising. Again, this is where IPMM sees the value of branded niche media properties, catering to users who look for a specific kind of content and relationship in the online experience. In conclusion, 90% of online ad spend is going somewhere else. Somewhere that advertisers feel they are getting more ROI.
 Labels: ad spend, advertising, social networks |