Digital Marketing Statistics - Statistics to help you understand the importance of it in 2023
The hesitancy of investing money on internet advertising is understandable when you're not sure what type of return, if any, you'll get. You may believe it is a waste of money, but only if you don't know what you're doing.
That is, at best, defensive thinking. In our opinion, the finest defensive plan is a great offensive. If you want to be the alpha, you must play large. The quantity of sales money that your company may generate through advertising is simply too large to ignore.
Here are statistics that will act as a catalyst to your decision to whether or not to invest in digital advertising for your business.
Statistics related to the Size, Projected Growth and Success of the Digital marketing industry
To begin, the worldwide digital advertising and marketing industry was valued at $350 billion in 2020 and is expected to reach $786.2 billion by 2026, with the US digital advertising and marketing market valued at $460 billion.
Digital display is projected to grow at a 15.5% CAGR, while search is projected to grow at 12.2%. Search accounts for 40.9% of the global digital advertising and marketing market.
In 2022, Facebook’s total ad revenue amounted to $113 billion. Additional fees and payments contributed to $2 billion worth of revenue.
PPC returns $2 for every $1 spent—resulting in a 200% ROI.
Paid ad channels with the highest reported ROI rate are Facebook Ads and Google Ads.
72% of overall marketing budgets get put towards digital marketing channels.
55% of marketing is digital. Total digital advertising spend in 2021 was $436 billion versus offline advertising at $196 billion. (Source- Winterberry Group)
Statistics related to the success rate of digital marketing?
The average local business allocates 5-10% of its income to digital marketing, while for larger enterprises, that figure might reach 14%.
Consumers spend 50% more at businesses that respond to feedback on a regular basis.
Before making a purchase, 93% of consumers read online reviews.
45% of shoppers buy online then pick up in-store.
Three-quarters of businesses are reporting on how their marketing campaigns are directly influencing overall revenue.
52% of businesses are using marketing attribution reporting.
62% of marketers use a CRM software for reporting.
Customers can spend up to 5x longer on a website after interacting with negative reviews.
Statistics related to the effectiveness of Online Advertising
Digital ads can increase brand awareness by 80%.
Consumers are 155% more likely to look up your brand-specific terms after they’ve been exposed to display ads.
Customers are 70% more likely to make a purchase from a retargeting ad.
PPC returns $2 for every $1 spent—a 200% ROI.
When someone conducts a search after initially seeing a related display ad, the likelihood of them converting is 59%.
A user’s search activity rises 155% after being served a display ad.
27% of consumers conduct a search for a business after seeing their display ad.
PPC generates double the number of website visitors that SEO brings in.
Paid ad channels with the highest reported ROI rate are Facebook ads and Google Ads.
Omnichannel campaigns produce a 250% higher rate of purchase frequency than do single-channel campaigns. Maintaining your brand's prominence across several media will result in increased income. It is not enough for your company to just be on Instagram. Customers may be found on YouTube, LinkedIn, Pinterest, Facebook, Google, Reddit, forums, and a variety of other micro-communities. We urge all of our customers to implement a multi-channel marketing approach, which is why we see three times the returns of firms who just use one platform.
Customer retention rates are 90% higher for omnichannel campaigns than for single-channel campaigns. No, we’re not repeating ourselves. This point is really that important. Customers are more loyal to brands that engage with them across channels.
Statistics related to Social media marketing
Every day, the average American adult spends more than two hours on social media.
Mobile devices are used by 91% of users to access social media sites. This implies you should integrate social media in your mobile marketing plan.
Influencer recommendations are trusted by nearly half of social media users. Check out our influencer marketing analysis to learn how to capitalise on this trend.
Because Facebook video advertisements are used by less than 5% of businesses, this is a huge potential for brands trying to stand out.
On Instagram, 90% of users follow at least one company.
Twitter is used by more than 80% of B2B firms for organic social media marketing and Twitter advertisements.
Snapchat has 265 million daily active users who open the app more than 30 times each day.
Users of Snapchat are more inclined to purchase items or services using their mobile device. They are also 60% more inclined to buy on impulse.
The average swipe-up rate for Snapchat advertising is 50%, with a cost per swipe ranging from $.30 to $1.00.
LinkedIn is the most trusted social media network among American customers.
LinkedIn Advertising is used by 80% of B2B organisations, while 96% of B2B content marketers utilise LinkedIn for organic social media marketing.
Employees account for 30% of the avage company's LinkedIn activity.
LinkedIn Advertising is a premier platform for audience targeting, with over 200 targeting options available to advertisers.
TikTok has the greatest engagement rate per post of any social media network.
TikTok advertising are "inspiring" to 72% of TikTok users, and they are even pleasurable to 70% of TikTok users.
25% of TikTok users have investigated or purchased a product after seeing a TikTok about it.
95% of Pinterest users have the app to help them plan or make a purchase. In fact, 52% of Pinterest users have seen something on the app and made the purchase online later.
After seeing promotional videos on social media, 64% of customers completed a purchase.
The average conversion rate is 9.21% across industries. But, depending on your sector, the specifics may differ. The fitness, education, and healthcare industries have much greater conversion rates.
Facebook generates the highest ROI. Needless to say, with such high conversion rates and minimal CPC, Facebook marketing produces excellent results. In fact, of all social media sites, Facebook has the best return on investment.
Photo posts and status posts have the highest engagement. The average engagement rate for status posts is 0.11%. With an average engagement rate of 0.08%, video postings do rather well. Link postings, on the other hand, are the least effective at increasing interaction. They have a 0.04% engagement rate on average.
Frequent posting doesn’t result in higher engagement. Many studies reveal that influencers and sports teams see the highest level of engagement across all verticals. However, influencers are infrequent posters, publishing fewer than 10 posts per week. Meanwhile, media companies publish almost 90 posts a week and only see an average engagement rate of 0.05%. Rather than frequency, post timing should be your main focus
Facebook Users and Usage
Facebook has nearly 3 billion monthly active users
Users ages 25-34 years represent Facebook’s largest audience. Despite the platform's reputation as an "older" network, 23.7% of US Facebook users are between the ages of 25 and 34. Furthermore, people under the age of 44 are more likely to use the platform.
Usage among teens has dropped sharply. Only 32% of teens were using Facebook as of 2022. This is a sharp decline compared to the 71% who were using the platform between 2014 and 2015.
The average internet user spends 33% of her day on social media. . This places it ahead of other popular networks like Twitter, Instagram, and even TikTok.
Source - Statista
2 billion of the 2.96 billion monthly active users utilize the site on a daily basis. That is 67.5% of users that spend at least some time on the platform everyday providing brands with potentially high visibility on the platform.
Facebook is the most used platform for customer service. 60% of customers seek customer support on Facebook. Furthermore, 69% of advertisers offer customer assistance through the platform.
Facebook has more male users than female.The platform has a higher percentage of male users (56.6%) than female users (43.4%).
India has the largest Facebook audience size. While Facebook sees significant usage across various countries, India has the greatest number of users. Latest reports show that there are 329.65 million Facebook users in India. The United States comes next, with 179.65 million users.
Other Facebook Related Statistics
As video marketing grows in popularity, it's critical to understand how video succeeds on Facebook. Surprisingly, people prefer to watch videos with the sound off.
Live videos see higher engagement than pre-recorded videos
Most people access Facebook from any mobile phone. Virtually all Facebook users (97.4%) visit the site using a mobile device. Furthermore, 68.7% of users only use their mobile phones to access Facebook. This demonstrates the overwhelming preference for using mobile phones to access the site.
While creating their Facebook content strategy and ad creative, brands must keep the mobile experience in mind.
More than 500 million people use Stories every day. This speaks to the popularity of the platform’s feature, making it a useful tool for brands to engage their audience.
Facebook Messenger has over 1 billion users
Reels hit 140 billion Plays per day across Facebook apps. Reels' popularity isn't going away anytime soon. In fact, Reels receives around 140 billion plays each day throughout the Facebook family of applications.
With algorithms pushing this format even farther, Reels might help you achieve visibility and interaction. In short, marketers cannot afford to ignore this short-form video genre.
The most social commerce shoppers are on Facebook. According to eMarketer, Facebook has the most social commerce buyers. Users above the age of 14 who have made at least one purchase on the site are referred to as social commerce buyers. By 2023, the platform will have attracted 65.7% of social commerce purchasers in the United States.
From 2021 and 2022, ecommerce revenue in the United States climbed by 7%. By 2023, total ecommerce sales in the United States are expected to exceed $1,001.5 billion.
60% of marketers are either unaware of or misunderstand their Basic Web Vitals.
For content marketers, video marketing is the most common media approach.
When firms use video content, 49% indicate that their revenue grows quicker.
86% of customers want to see more video content from businesses they trust.
73% of customers are eager to spend extra money with a brand that is completely transparent on the internet.
76% of brands report using marketing automation in the last year.
In 2021 & 2022, 35% and 42% of businesses respectively planned to include AR or VR in their marketing efforts.
Mobile texts are 35 times more likely to be opened by consumers than emails.
In conclusion, investing in digital advertising for your business can prove to be a very wise decision. Social media marketing has also proven to be very effective, with the average American adult spending more than two hours a day on social media. The statistics related to the effectiveness of online advertising are also very impressive, with a 200% ROI for PPC returns for every $1 spent.
The digital marketing industry is projected to grow at an enormous rate, with a value of $786.2 billion expected by 2026.
Social media marketing is very effective, with the average American adult spending more than two hours a day on social media.
The statistics related to the effectiveness of online advertising are also very impressive, with a 200% ROI for PPC returns for every $1 spent.
Omnichannel campaigns produce a 250% higher rate of purchase frequency than do single-channel campaigns.
Customers are more loyal to brands that engage with them across channels.
If you haven't already invested in digital advertising for your business, now is the time to start. Take advantage of the vast reach of social media and the effectiveness of online advertising to increase brand awareness and drive sales. Consider implementing an omnichannel marketing approach to reach customers across multiple platforms and engage with them for increased loyalty. With the right strategy, digital advertising can provide a high return on investment for your business.
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Don’t worry about making a large commitment without knowing much about what we can offer. Book a call with us, help us understand your business and then we’ll offer you a free ad account audit and an actionable marketing strategy. Like the strategy? Hire us! Don’t want to hire us? No problem. The strategy is on us!