The Market of Digital InfluencersPostado em: 27/03/2018
The universe of marketing had already too many “stages” and a lot of people say that the demand of digital influencers advertising is just a fad. It will be? A research made by inCast in Brazil and the U.S shows the parallel of traditional marketing vs. digital.
The digital advertising industry has the fastest growth in the world out of all times and last year(2017) couch up the TV advertising numbers.
It is estimated that in 2018 the market tends to improve on social media advertising with a growth of 26%, and the Mobile ad investments drove gains, accounting for 62.5% of digital ad outlays.
In U.S the market is in constant evolution, Video ad format sales more than doubled in 2017, reaching $4.9bn i.e. 22% of the total social media ad market ($22bn). In addition, for full 2017 year, social grew by +37%, while video grew by +28%. Ad sales generated through mobile devices will grew by +39% and will represent 59% of digital media by the end of 2017.
Mobile video (+52%), social (+43%) and search (+38%) are the key drivers of all digital media. In 2018, digital media ad sales will grow by double-digits again: search +12%, video +27% and social +23%.
In relation to the Brazilian market, the numbers is also optimist. With $14 billion, Brazil is the sixth largest advertising market in the world and accounts for over half of LATAM’s advertising spend. TV continues to command the majority share of spend in Brazil with digital is the second leading media type in Brazil with 25%+ share of spend in 2016; however, it is fastest growing ( 23%+ in 2017). Besides, mobile advertising is growing dramatically (+52% in 2017) and now accounts for over 55% of digital advertising expenditures in Brazil.
According to Statista Brazil, the size of digital ad market will reach $4.09 billion in 2018 with search advertising accounting for more than 44%.
In regards influencer marketing, we want to say that currently nobody knows is true size, there are only rough estimates. However, everybody agrees that it is growing very rapidly and 94% of companies, which used influencer marketing, found it effective.
At the end 2015, Mediakix estimated that Influencer marketing would be a $5-10 billion market in the next five years. At the end 2016, Medium estimated it at $1.6 billion. This is relation to the global market. When we regionalize our guess about the size of the influencers marketing in U.S is 75% of the global or, at least, US$ 3 Billion. This is because, the most major social media companies are based in United States – even if the influencers live and make content from others countries, the social media companies so are the final beneficiaries.
*Data from November 2017, extracted from the site: https://www.dreamgrow.com/top-15-most-popular-social-networking-sites/
Already in relation to the Brazilian market, and according to Traackr estimate, TAM for influencer technologies in LATAM would be $300M within 3-5 years. Knowing that Brazil accounts for roughly 50% of LATAM digital advertising market, our estimate for influencer marketing market size in this country is the following:
So, that we can exact numbers, yet it isn’t a digital influencer or not, As well, true influencer X false influencer. We are preparing another text to you know more next Thursday to tell you more about these.