It is no surprise that budgets for social media adverts have risen by a massive 53 per cent in the past year after it has been revealed just how much time people spend on social networking sites.
According to IAB figures for expenditure on digital advertising, people spend one in every seven minutes that they’re online logged into social media, and the digital marketing industry has responded by ploughing in £3 billion to online ads.
Statistics put together by accounting company PwC show UK internet users spend 43 hours online every month on average, and of that time more than one third of that is spent on entertainment and social networking sites.
The firm said mobile advertising was responsible for the influx of revenue to digital advertising thanks to the huge shift towards smartphones and tablets by consumers, alongside the introduction of 4G networks.
In the UK the total spending on these devices reached £429.2 million, which is a 127 per cent increase. The same study flags up a 1,260 per cent increase in ad spend in mobile videos, which can be linked to the super-fast speed of 4G. This brought in £23 million in the first half of the year – quite a leap from £1.7 million the year before.
IAB’s director of research and strategy, Tim Elkington, said: “With smartphone penetration crossing the two-thirds landmark and the successful roll out of 4G, 2013 could be the year when advertising spend on mobile crosses the £1bn threshold.”
According to Marketing Week’s report, advertising within social media markets also increased by 53 per cent to £242.5 million, which may seem small compared to the paid-for search marketing revenues at £1.81 billion. This takes 59 per cent of all paid-for online marketing on the whole.