Being among the top 10 companies in Internet advertising continues to be important. Those companies, which presumably include Google and Facebook, earned 75% of all US digital ad revenue in Q4 2015, and over the past 10 years commanded 69% to 75% market share. In Q2 2015, companies in the 11th to 25th slots captured 9% of online advertising revenue, down from 11% the year before.
As digital advertising growth continues to outpace other types of advertising, and as overall ad spend remains flat, next year could mark a watershed moment in the industry.
Combined, broadcast and cable TV grabbed $66.3 billion in advertising in 2015. Using the average growth rate of the past decade, 17%, 2016 will be the year Internet advertising revenue (which does not include OTT or SVOD) exceeds TV revenue.
Not all was rosy for digital. High-priced formats like sponsorships barely even registered in terms of portion of overall digital ad spend, accounting for 1% of revenue ($649 million). Rich media was just 7% of revenue, or $1.3 billion. The IAB, however, did not break out branded content because native formats have too many variations to accurately categorize.