According to analysis by eMarketer, U.S. social media ad spending will surpass $3 billion in 2011. That's an astonishing jump, compared to $1.99 billion reported for 2010, and a full $1 billion more than eMarketer's last estimate just five months ago.
Leading the charge, of course, is Facebook. Predictions charge Facebook as being responsible for $2.19 billion in 2011, up from $1.21 billion in 2010. When you add in non-U.S. ad spend on Facebook, the total for 2011 is predicted to be more than $4 billion. Facebook (and social media in general) is a very attractive option for penetrating foreign markets.
"2010 was the year that Facebook firmly established itself as a major force not only in social network advertising but all of online advertising,” said eMarketer principal analyst Debra Aho Williamson. "In 2011, its global presence is something multinational advertisers can’t ignore."
Interesting to note is that of the $1.86 billion spent worldwide on Facebook advertising in 2010, more than 60 percent came from small businesses - not the giant corporate advertisers like P&G or Coca-Cola.