Over the past five years, brands and marketers worldwide have spent almost $3trn on digital ads, helping the largest players in the market, like Google, Facebook, and Amazon, to more than double their ad revenues. In 2023 alone, the world’s ten largest digital advertisers grossed a whopping $492bn. However, this figure is expected to increase significantly in the following years.
According to data presented by OnlyAccounts.io, the world’s ten largest digital advertisers are expected to hit $677bn in ad revenue by 2027, or almost 40% more than last year.
TikTok to See the Biggest Ad Revenue Growth
The total spending in digital advertising has climbed to record highs, with companies and brands worldwide splashing out more and more money on banners, search, video, and influencer ads each year. According to a Statista survey, the digital advertising industry is expected to generate $740bn in revenue in 2024, or $50bn more than last year. By 2027, this figure is forecast to climb to over $910bn, and most of that value will come from the largest players in the market.
Last year, the world’s ten largest digital advertisers, Google, Facebook, Amazon, TikTok, Tencent, Microsoft, Baidu, JD.com, Apple and LinkedIn, grossed over $492bn. By 2027, their combined ad revenues are expected to grow by $185bn and hit a whopping $677bn.
And while Google will remain the king of the digital advertising landscape, other companies will see much bigger revenue growth in this period. Last year, the search giant grossed $250.2bn in ad revenue, making 36% of the world’s total. Statista expects this figure to jump by 35% and hit over $340bn in the next three years. Microsoft will also see around 30% growth, with its ad revenue rising from $12.5bn to $16.3bn, and Amazon’s and LinkedIn’s advertising revenue will jump by 60% and 75% in this period.
Although eight of the ten largest digital advertisers are expected to see double and triple-digit ad revenue growth by 2027, none can compete with TikTok, the company with the fastest-growing ad revenue globally. The short-form video app is expected to bring in almost $54bn from advertising in 2027, or 198% more than last year. That means TikTok will see three times bigger ad revenue growth than Amazon and LinkedIn and five times bigger growth than Google or Microsoft.
X, Formerly Twitter, is the Only Company with an Ad Revenue Drop
Ever since it was bought by billionaire Elon Musk for $44bn last October, X, formerly Twitter, has been losing advertising revenue. The combination of divisive leadership, questionable politics from the person who runs the company, and plenty of competition in the market will continue to cut down Twitter’s ad revenue in the following years.
Last year, the platform grossed $3.1bn in ad revenue. Statista expects this figure to drop by another 18% to $2.7bn in 2027, meaning the company will lose roughly 42% of its ad revenue in five years.
