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Ecommerce Advertising Market in the United States (2017 - 2021, $ Million)

  • The Ecommerce advertising market of the United States attained a value of $7,825.3 million in 2020.
  • The Ecommerce global market recorded a historical growth (CAGR) of 116.25% between 2017 to 2020, and has grown by 20% in 2021, reaching $9,890 million.
  • GlobalData projects the figure to grow at a CAGR of 22% between 2021 and 2025.

The process of posting sponsored material on an online or offline site and then targeting new prospects or re-targeting those who have shown interest is referred to as ecommerce advertising. The United States is the largest advertising market due to its highly commercialized culture and prolific ad spending. The internet is widely accessible across the United States and 89.6% of the population had access to the internet in 2020. The increase in internet speeds and internet accessibility prompted consumers to spend more time on the internet, particularly on social media sites, contributing the most to the growth of the market in recent years. The US digital advertising market is dominated by Google and Meta, which generate the majority of global online advertising revenue. Both companies receive more web traffic than any other online platform, allowing them to attract a large number of advertising customers who intend to gain huge exposure at a reasonable price. Ecommerce advertising platforms provide numerous options and analytical services to help clients achieve the most from their online marketing campaigns.

Ecommerce advertising market value defines the aggregated value of the ecommerce advertising expenditure across platforms. The ecommerce advertising market in the United States was valued at $7,825.3 million in 2020. The ecommerce global market recorded a historical growth (CAGR) of 116.25% during 2017–20, and grew 20% in 2021, reaching $9,890 million. GlobalData projects the value to grow at a CAGR of 22% during 2021–25.

The online advertising market registered robust growth in 2021, complemented by delayed marketing expenditure, traditional seasonal uplift, the rollout of COVID-19 vaccines, and the recovery of the economy. This improved the financial power of consumers, enhanced their confidence and spending, and increased advertising spending within the market. The COVID-19 pandemic also accelerated the shift from traditional to online advertising on an unprecedented scale.

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