Revenue from digital ads expected to reach $137.53 billion

Digital video advertising spend will continue to grow worldwide.

Posted on Apr 3, 2014 by YuMe

Digital video advertising seems to be growing just as quickly as the exorbitantly large amounts of revenue it generates for video ad publishers. Many brands heavily rely on multiplatform creation and deployment of video ads to grow consumer impressions and increase sales of products and services.

A recent study conducted by eMarketer anticipates that this year, spending on digital ads around the world will total $137.53 billion. This amount is expected to account for one-quarter of all advertising spending and represents a 14.8-percent increase from the amount invested toward digital video advertising campaigns in 2013.

The report notes the United States will continue to lead the way when it comes to digital ad spending, and the country is expected to account for 39.1 percent of all such spending globally in 2014 and in four years, the number could grow to 41.3 percent. The U.S. is followed by the Asia-Pacific region at 28.6 percent and Western Europe at 23.2 percent. All told, eMarketer predicts digital advertising spend could reach $204.01 billion by 2018, and total advertising spend will total $656.3 billion in the same four-year time span, despite the expectation that growth could slow to 5 percent, year-over-year.

As a result of such positive increases in usage percentages and revenue, more efficient and accurate methods to track the success of digital ads continue to be explored as one of the key issues of concern for video ad publishers and advertisers is fraudulent Web traffic.

The Wall Street Journal recently reported the Interactive Advertising Bureau estimates that 36 percent of all Internet traffic is the result of bots. This ultimately has a negative effect on brands' ability to gather insight into consumer engagement and impressions, which is critical information for companies looking to determine which platforms generate the best return on digital ad investments.