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US paid search adspend grows 22%

News, 13 July 2015

NEW YORK: US advertisers using the IgnitionOne campaign platform increased their paid search spend by 22% year-on-year in Q2 2015, the digital marketing company has reported.

Much of the gains in paid search were driven by growth in mobile search, IgnitionOne said, noting that advertisers spent 71% more on campaigns with mobile phones while growth for tablets was up 22%.

Smartphones saw the highest growth and accounted for the majority of mobile spend in the second quarter with 59% compared to tablets.

Overall, spending on programmatic display ads rose 33% year-on-year in Q2 2015 and there were some notable changes in the market.

Facebook took display share from Google with advertiser spending on Facebook FXB growing 48% while adspend on Google dropped 9%.

However, Google regained its lead in US paid search spend by taking 75.5% of market share compared with the Yahoo! Bing network, which lost market share in Q2 and returned to about a quarter (24.5%) of the total.

Commenting on the findings, Will Margiloff, CEO of IgnitionOne, said: "As industry giants battle over market share it only serves to highlight how important it is for marketers and their technologies to be publisher-agnostic.

"This report once again validates sophisticated marketers paying close attention to individual customers and delivering messages at the right time, efficiently, no matter what publisher or what device."

Almost coinciding with the report came news that Facebook is changing the way it charges advertisers for their click-based campaigns.

These campaigns will no longer be measured by likes, shares and comments on a post but, instead, advertisers will pay only when users click a link to a website or app.

Data sourced from IgnitionOne, Advertising Age; additional content by Warc staff