Survey Suggests TikTok Users Prefer Reels if the App Faces a Ban

60%       

In the US, the ban on TikTok is guaranteed and industry players are bracing for significant shifts in the social media landscape. Anticipating a possible audience shift, buyers strategize, China opposes divestiture, and data suggests Instagram and YouTube could reap substantial benefits. Meta might gain 22–27% of TikTok’s projected $6.61 billion US ad revenue, while YouTube could see a potential increase of $1.54 billion. Survey data indicates a strong preference for Reels among TikTok users if the app were banned, with YouTube Shorts trailing behind and limited interest in X’s upcoming platform.

71%

In October 2023, the Pew Research Center reported that 71% of teen YouTube users engage with the platform daily, compared to 58% of teen TikTok users. Additionally, our February 2024 forecast suggests that adult US TikTok users will spend more than 54 minutes on the app than adult US YouTube users, even though YouTube has a larger user base of US teens aged 12 to 17 of 23.2 million compared to TikTok 17.8 million. This ban could also surge user engagement and ad revenue for YouTube.

21.2%       

Apple recently made headlines by testing an AI-driven ad product like Google’s Performance Max, underscoring its ongoing investment in advertising. However, Google maintains a substantial lead in the ad market, with its worldwide ad revenues projected at $189.11 billion this year, compared to Apple’s $10.34 billion. Despite Apple’s ad revenues growing at double the rate of Google’s (21.2% vs. 10.3%), it still faces challenges in closing the gap. Moreover, while Apple’s expansion into AI-powered ad targeting is strategic, it also grapples with antitrust scrutiny and the complexities of third-party app store regulations in regions like the EU.

92.1%

As advertisers increasingly embrace automation for its flexibility and control, programmatic advertising is poised to dominate US digital display and video ad spending by 2025, reaching 92.1% and 89.4% respectively, per EMARKETER’s December 2023 forecast. With a focus on premium, scalable supply, particularly in connected TV (CTV), advertisers seek informed, data-driven buying strategies amidst the impending challenges posed by the phaseout of third-party cookies, driving a shift towards leveraging first-party data and alternative solutions for effective targeting and activation, according to insights from Giuseppe La Rocca.

20%

Meta Platform’s strategic investment in payment ventures, including a collaboration with e-commerce giant Amazon, is anticipated to yield significant returns this year, as forecasted by Mizuho Securities analysts. With a projected 20% revenue growth over 2023, Meta’s integration of Amazon’s checkout experience into its social media platforms marks a pivotal moment, potentially transforming social media into a robust transaction platform.

84%       

As third-party cookie deprecation unfolds, industry dynamics shift: IP masking by major ad players like Google poses challenges in accessing IP addresses, VPN usage worldwide reached 1.6 billion people in 2023. According to a survey by LiveIntent, 84% of US marketers are inclined to invest in retail media due to the impact of third-party cookie deprecation. US retail media ad spend is forecasted to grow 28.5% YoY in 2024, totaling $59.61 billion, comprising 19.4% of digital ad spending. Over half (53%) of US brands and agencies will intensify their focus on MMM in 2024, compared to November 2023 data from the Interactive Advertising Bureau.

$5.82 B

Micron, a leading memory and storage solutions provider, reported a significant revenue increase to $5.82 billion from $3.69 billion in the previous year’s quarter. The company also announced a net income of $793 million, a stark improvement from a net loss of $2.3 billion in the same period last year, attributing its success to the artificial intelligence boom. Furthermore, Micron surpassed revenue forecasts with $5.82 billion, beating the expected $5.35 billion. Micron projects revenue for its fiscal third quarter to reach $6.6 billion, exceeding analysts’ expectations of $6.02 billion.