Unlike what you might have thought, the search Ad spending has increased in 2020. And, it is during the coronavirus pandemic that digital marketing is moving towards a new phase. With social spends & Search Ads spending gradually beginning to rise across multiple channels — it looks like the digital marketing industry is once again back with a bang.
In 2020 Q3, it looks like digital marketing has started recovering unlike the last quarter when there was a downfall in the market with a decline in organic as well as paid searches. The online retailers are yet again getting back to normal and finding their footings into the market.
Search Ad Spending in 2020.
Surprisingly what you might not have imagined, the search spending, despite the pandemic causing the downfall of every single industry including digital marketing, is witnessing a 5.9% growth in 2020 per a report. The previous estimate had anticipated a decline in the search spending due to the travel industry getting almost closed.
As the year unfolds, there has been a surge happening in search spending with markets catching the pace once again. Most retailers are turning to digital channels, as a result, driving better search advertising by digital merchants. And, experts are estimating that this change is going to stay, it’s definitely not temporary.
Per an estimate, unlike the pre-COVID estimate, the advertising spendings are going to be far better. You can better explain it as “the pandemic has brought long-term gains” for marketers across different industries. Online marketers are also predicting that the estimated gain will specifically come from mobile search ads. And, the desktop search spends may not see any growth at the end of this year.
The decline in desktop search ad spending.
The pandemic has led to a decline in high-consideration searches like travel. This has been the major reason for the decline in desktop search spendings. On the other hand, other services like consumer packaged goods will contribute to a surge in mobile search spendings.
During October, per Google the earnings were better than what was expected with a 6.5% surge in the search ad revenue. It is expected that by the end of 2024, the search spendings by advertisers are going to be around $99.2 billion unlike the previous prediction, which was $91.32 billion. And, a huge part of this spending will come from mobile search ads.
Google may lose market share in the upcoming years as more and more advertisers are moving towards Amazon. With more commerce happening online, it is expected that Amazon is going to benefit from the trend. In the upcoming years, Google may lose the advertising market share with 54.9% in 2022 from 61.3% last year. On the other hand, Amazon is expected to have a net 21.5% of US search ad spends.
Mobile search has become a trend from the last few years with smartphones becoming a part of our lives. And, with this new trend due to the pandemic, mobile search Ad spendings are undoubtedly going to increase.
Let’s take a look at some of the Mobile search Ads:
- Throughout the world, Mobile devices, Mobile Search As of 2019 — brought almost half of all the website traffic.
- Taking reference from the search results, as much as, 60% of the mobile users for in touch with businesses directly.
- Right from 2017, around half of the web traffic across the globe has come from mobile searches.
- For most companies (almost 25%), mobile optimization has been an important part of their SEO strategy.
- For as much as 39% of mobile users, it is much easier to shop online through App the other means.
- As much as 87% of the users in the US use more than one device while searching online.
With mobile search spends popularizing in a post-pandemic world, it is a smart move for companies to spend on tweaking their mobile advertising strategies. The Digital marketing landscape is ever-changing and dynamic, you have to be extremely cautious of the trends, tactics & technology — to remain on the top. The first and critical step is to stay up-to-date with what’s going around and then to move accordingly. With this knowledge, make sure you are doing it right for your business so as to compensate for the loss the pandemic has brought!