Facebook Worldwide Ad Revenues to touch $5 Billion mark

Growth in Facebook ad revenues may be slowing, according to eMarketer estimates, but they will still swell more than 60% this year to reach $5.06 billion worldwide, after posting growth of 68.2% in 2011.

By 2013 and 2014, growth rates will dip significantly, and by the end of eMarketer’s forecast period worldwide revenues at the social networking giant will be just shy of $8 billion—more than double 2011 revenues.

In the US, Facebook will take in $2.58 billion this year, or 51% of its total worldwide revenues. That’s down from 55% in 2011 and will drop further, to 49%, in 2013 and 2014 as international markets make up a larger share of Facebook’s ad revenues. This year, Facebook will account for 6.5% of all online ad revenues in the US, up from 5.4% in 2011. Its share will rise to 7.1% in 2013 and 2014.

Advertising, which made up nearly all of Facebook’s worldwide revenues in 2009 and 95% of the total in 2010, still represents the lion’s share of the social networking site’s income, even as that percentage continues to shrink every year. In 2011, eMarketer estimates, 85% of Facebook’s global revenues came from ads, with the remainder coming from Credits and other sources. By the end of 2012, advertising’s share will again sink slightly, to 83% of the total.


Source:eMarketer

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