Albany, NY -- (SBWIRE) -- 04/07/2015 -- Social network advertising market is an umbrella term used to describe the various online advertising methods used for targeting probable customers on social networking sites. Social networking sites store demographic information of every user, which plays a very important role for advertisers. With a detailed database about the user's data such as age, gender, likes, and dislikes, advertisers can appropriately target their ads by forming logical patterns.

Social network advertising uses a variety of targeting techniques such as geotargeting, socio-psychographic targeting, and behavioral targeting for the identification of detailed target groups. Advertisements are distributed over target groups or individual users based on the information gathered from the profiles of target groups. All these approaches work on the assumption that people from the same age group, gender, income-ranges, relationship statuses, or a specific geographic region share particular needs and have similar choices.These techniques have worked wonders for the field of advertising and marketing in the past as well. As the number of internet users and social networking sites continue to rise across the globe, these techniques will come across as the most important tools for social networking advertisers in the future years.

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How Large is the Target Audience?

The number of internet users across the globe is currently 2.9 billion. This is nearly 40% of the global population. It is estimated that one-third of this population is the user of one or other popular social networking sites such as Facebook, LinkedIn, Twitter, Google+, and MySpace. The number of social networking site users increased by 25% in 2010. Nearly 50% women and 34% men in the U.S. visit Facebook a few times every day. South Africa has a rather smaller number of users and has only as much as 38% active users at any point of the time. Around two-thirds of internet users in Europe log on to at least one social networking site, with nearly 60% visiting Facebook and 15%-17% visiting Twitter. In Japan, the number of Twitter users increased by a stupendous 500% in the year 2010 alone.

What Makes Social Networking Sites so Important to Advertisers?

Most popular social networks are absolutely free for users, allowing marketers to reach their target audiences at a very low cost. Increased time spent on the internet and on social networking sites denotes that people are spending less time reading newspapers, on the road, or watching television – traditionally the most sought-after means for advertising. Thus, moving to where the consumer spends more time is what marketers are doing by targeting social networking sites to advertise their products and services.

World's Most Populous Countries – China and India – to Drive the Future Market

The global market for social networking advertising targets audiences through various types of advertising modes such as newsletters, banner ads, subscription ads, give widgets, get widgets, and sponsored content. In 2011, of the US$11.78 billion revenue earned by the global social media market, nearly 60% share was acquired by social networking advertising market. In 2015, the social media advertising marketing market generated revenue worth US$5.52 billion. With the ever-increasing number of internet and social networking site users, the growth prospects for the global social media advertising market are also very high. Analysts estimate that the global social media advertising market will expand at a CAGR of more than 50% over the next few years.

Emerging countries such as India and China, the world's two most populous countries, will drive the market due to a large pool of potential internet users in the future. Rising sales of smartphones will also prove to be a key driver for this market.Facebook, which can now easily be regarded as "country" in itself due to the number of active users, had over 1.3 billion users as of June 2014. Number of active users on Twitter and Qzone distantly follow Facebook.

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