Digital Display Takes the Cake in 2016

February 9, 2016 mogointeractive

Display banners and other types of digital display ads, including rich media, continue to be effective channels for brands to showcase their products or services. While search engine ads are highly effective for several digital marketing initiatives, display is becoming an increasingly effective channel to raise awareness and nurture target audiences down the funnel.

According to eMarketer, this year display categories will account for the majority share of digital ad spending, coming in at nearly half (49.9%) of all digital ad spending – worth $32.17 billion. Take a look at this 2015/2016 comparison:



Spend on Search Ads: $26.5 billion
Spend on Display Ads :(includes banners, video, rich media, sponsorships): $26.15 billion


Spend on Search Ads: $29.24 billion (+10%)
Spend on Display Ads:  $32.17 billion  (+23%)


Ad Facts and Formats: 2016 Outlook

While “display” can be a broad category, this year, marketers and advertisers will invest most in the “banners and other” classification, allocating one out of every five digital dollars to these types of ad units.  This category includes native ads on sites like Facebook, as well as the typical banner ads you might see while browsing the web. Video (in its own category) is trailing close behind, commanding additional 12.8% more spending than last year. Spending on video and rich media categories will increase this year by 36% and 29%, respectively. This has largely to do with video’s mobile appeal, as well as high-value ad inventory and ad formats.

Device and Format /Mobile and Desktop

Despite the appeal and growth of the mobile video category, desktop is still expected to earn over half (about 58%) of video advertising dollars in the United States this year. For other display formats, however, 75% of all 2016 spend will be allocated to reach users on mobile devices.

Looking Forward

So how do these numbers help inform marketers?

First, trends in media consumption, especially the continually-increasing use of mobile devices, are allowing advertisers to allocate more ad dollars into the most desired channels and formats. This means that the digital ad space will continue to become increasingly competitive as a growing number of different advertisers compete for inventory.

Acknowledging display’s big growth this year and noting its impressive potential for continued growth, marketers should carefully evaluate their digital media mix to ensure they aren’t leaving valuable audiences “on the table” and vulnerable to their competitors’ messaging.

To learn more about running effective and scalable digital display campaigns, contact Mogo Interactive today.