Both search and social deliver positive ROI as revenue grows faster than spend across each channel
London (April 16, 2014) – Skai (www.Kenshoo.com), the global leader in predictive media optimisation technology, today released a new infographic, Skai Search and Social Snapshot: Q1 2014, detailing key metrics and benchmarks for paid search and social advertising. The data show paid search still represents the biggest share of digital marketing investment but social is growing at a faster rate.
Among the key year-on-year (YoY) findings in the research:
- Search ad spend increased 10% and social spend increased 37%
- Search advertiser revenue increased 12% and social revenue increased 191%
- Search clicks increased 8% and social clicks increased 1%
- Search average cost-per-click was $0.59 (up 2%) and social was $0.25 (up 35%)
“Social advertising is growing fast and, while paid search still commands the lion’s share of online ad budgets, both channels have proven to deliver strong return on investment,” said Aaron Goldman, chief marketing officer of Skai. “The key for marketers is to approach search and social holistically and leverage advanced cross-channel platforms to automate and optimise campaigns.”
“Search has long been the rock of digital marketing plans and will continue to be for its ability to capture intent and drive direct response results. The fact that search is still growing at double-digit yearly rates shows there is plenty of opportunity out there for scale,” added Goldman. “Meanwhile, social advertising has clearly emerged as a vital always-on component of the media mix and its triple-digital growth in revenue proves that marketers are successfully converting social engagement into tangible business outcomes.”
Previous research from Skai revealed that complementing search campaigns with social advertising boosts ROI. The data analysed by Skai for its Q1 infographic reflect all advertisers and agencies actively using Skai Search and Skai Social for the past 5 quarters and cover more than 500 billion total global ad impressions. Visit www.Kenshoo.com/Search-Social-Snapshot to download the infographic and view further performance data and insights.
About Skai
Skai is a global software company that engineers cloud-based digital marketing solutions and predictive media optimisation technology. Brands, agencies and developers use Skai Search, Skai Social, Skai Local and Skai SmartPath to direct more than £120 billion in annualised online client sales revenue through the platform. Skai is the only Facebook strategic Preferred Marketing Developer with native API solutions for ads across Facebook, FBX, Twitter, Google, Yahoo, Yahoo Japan, Bing, Baidu and CityGrid. Skai powers campaigns in more than 190 countries for nearly half of the Fortune 50 and all 10 top global ad agency networks. Skai clients include Accor, Burberry, GroupM, Havas Media, John Lewis, and Tesco. Skai has 22 international locations and is backed by Sequoia Capital, Arts Alliance, Tenaya Capital, and Bain Capital Ventures. Please visit www.Kenshoo.com for more information.
Skai brand and product names are trademarks of Skai Ltd. Other company and brand names may be trademarks of their respective owners.
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