U.S. Ecommerce Search Ad Spend Forecast To Reach $55.72B By 2026: eMarketer
Insider Intelligence from eMarketer estimates that by 2026, the U.S. ecommerce search ad spending will reach $55.72 billion — up from $27.10 billion this year. Display will reach $17.31 billion, up from $8.86 billion this year.
The data tracks search and display on websites and in apps that support retail ecommerce, such as ads on Amazon, Walmart, and eBay. It does not include advertising on social networks or across search engines.
“Commerce media is forecast to reach about $200 billion in total addressable market by 2024,” Criteo CEO Megan Clarken told Beet.tv. Putting that into perspective, she said, search will reach about $285 billion by 2024 — and search had 25 years to get there. That’s how fast commerce media is taking off.
All marketers need to do is keep an eye on what Walmart, Amazon, and others did during the past six years, and significantly grow their advertising businesses on their own media properties.
“This is where the seed is coming from,” she said.
Insider Intelligence also estimates Amazon will take 77.7% of U.S. ecommerce channel ad revenue this year, contributing $27.94 billion of the $35.96 billion.
Total U.S. ecommerce ad spend in the U.S. will contribute 14.5% to the digital ad market, and its share will reach 20.1% by the end of the forecast period in 2026, according to Insider Intelligence.
Amazon’s share of ecommerce ad revenues is shrinking, but growth will remain in the double digits. It posted a “whopping” 56.5% growth in 2020, but its ecommerce channel ad revenue will still increase by an 28.1% this year.
Among several top retailers—Walmart, eBay, and Etsy—ad revenue growth came in slightly weaker than expected in Q4 2021 due to supply chain issues and an outbreak of the omicron variant.
Amazon is forecast to make up 77.7% of US ecommerce ad revenue this year, contributing $27.94 billion of the $35.96 billion total.
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