Social networks Do Not Compete with the Television in Advertising Market

Social networks Do Not Compete with the Television in Advertising Market

The number of users of social networks this year should get too close to the number of  about 1 billion people. At the same time, the number of ads placed there could easily exceed $ 2 trillion. The total advertising revenue from social networks in 2011 is going to reach the number of about $ 5 billion. Note that this is only 1% of global advertising turnover. Thus, not very high and substantial level of income per person per year (about $ 4) will not allow social networks to compete with media I traditional understanding and other forms of online advertising. The future of this form of media is strongly dependent on three main indicators: growth of the number of Internet subscribers, the time they spend in social networks,  and  CPM (Cost per mile – cost per one thousand of exposures). If the first two indicators are going to rise this year, the latter often shows a negative trend.