Alibaba overtakes Google in display revenue as total spend hits $109 billion

Global display ad revenue is poised to hit US$109 billion in 2017, with Alibaba knocking Google from its second position for the first time.

According to a report by eMarketer, the Chinese e-commerce giant is expected to take 13.5 per cent of display ad expenditure, while Google slips into third place with an 11.5 per cent.

Meanwhile, Facebook maintained its top position from 2016, rising from a 30 per cent share to 35 per cent – worth roughly US$39 billion in 2017.

Following behind are Baidu, Twitter, Oath, Microsoft, and Sohu follow, respectively, all of which have seen their share shrink since 2016.

According to an eMarketer report earlier this year, Alibaba is expected to draw 32 per cent of China’s digital ad spending this year—an estimated US$16.04 billion.

In August, Alibaba reported a 56 percent rise in its first-quarter revenue, driven by both its online sales and the consolidation of recently acquired businesses like video platform Youku Tudou.

However, while Google has slipped behind on display, the Silicon Valley giant remains at the top of the pyramid in terms of total digital adspend, eMarketer said.

This year, Google is expected to generate US$72.42 billion in net digital ad revenue worldwide, an increase of 15.7 per cent over last year and 31.8 per cent  of the total worldwide digital ad market, which this year is worth US$227.49  billion.

Of this, US$49.72 billion is expected to come from mobile. The market research company did not reveal Google’s search revenue for 2017, but said the company made US$59 billion in 2016.

Facebook and Alibaba claim the second and third spots for total revenue, with US$38 billion and US$19 billion respectively.


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