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Paid Search Leading the Digital Ad Landscape

According to new data, paid search remains the dominant digital ad channel, accounting for the largest chunk of most marketers’ digital ad budget.

A recent survey conducted by Marin Software’s State of Digital Advertising found that on average, paid search accounts for 39% of total digital ad budget.

Growth remains a top priority for advertisers, and driving brand awareness is central to that goal.

The data of this report was collected from 500 digital marketing professionals from B2B to B2C, in both the US and the UK.

Other top priorities are increasing brand awareness, followed by customer experience.

Paid Social Ads Are Not Too Far Behind

The second highest contender in this race is paid social ads, which accounted for 18% of digital ad budget.

Of the high-level digital marketers that were surveyed, 61% expected to increase their budget for Instagram this year. This increase does not suggest that advertisers are spending less on other social media. Instagram’s budget is taken from new funds rather than budgets allocated to Facebook.

Other highest-paid digital advertising channels include display (16%), YouTube (11%), Mobile/In-App ads (9%), Amazon (8%), and other e-commerce (4%).

Marin Software paid ad spend chart comparison

Source: Marin Software

The Rise Of Amazon

Amazon is a promising player at the moment. 60% of respondents indicated that they will be increasing their Amazon budget this year. This allocated budget is also said to be progressive.

The survey participants also acknowledge that they see Amazon as a source of significant growth and opportunity.

However, some respondents still consider the platform to be less sophisticated than Google or Facebook, as 37% indicated that they feel the tools on Amazon are not optimal.

Other Important Insights

Here are some other key takeaways from the State of Digital Advertising survey:

  • Responsive Search Ads is currently a popular trend that will influence 2020 spending.
  • Shopping ad usage is also a growing trend.
  • 32% of participants said that videos were the most responsive ad format, followed by stories (23%).
  • Google, YouTube, and Amazon top the list of most trusted publishers with a trust index of 5, 4.3 and 4.2, respectively.
  • Data privacy, tracking restrictions and ad blocking were listed as some of the top challenges impacting respondents’

Marin Software paid ad spend chart comparison

Source: Marin Software

Check out Marin Software for more information.