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10 Million Active Advertisers Mean A Very Active Holiday Season For Facebook

Facebook advertising revenue (YoY growth):
1) 
2015-Q3 – $4.3B
2) 
2016-Q3 – $6.8B (↑ 59%)
3) 2017-Q3 – $10.1B (↑ 49%)
4) 2018-Q3 – $13.5B (↑ 33%)
5) 2019-Q3 – $17.4B (↑ 28%)
6) 2020-Q3 – $21.2B (↑ 22%)

Advertisers on Facebook by year (YoY growth):
1)
 2016 – 3M
2) 2017 – 5M (↑ 67%)
3) 2018 – 7M (↑ 40%)
4) 2019 – 8M (↑ 14%)
5) 2020 – 10M (↑ 25%)

Flashback: What Headwinds? Facebook Tops Revenue Estimates In Spite Of…Everything

Facebook advertising revenue per user in the U.S. and Canada (YoY growth):
1) 2015-Q3 – $9.86
2) 
2016-Q3 – $15.08 (↑ 53%)
3) 2017-Q3 – $20.69 (↑ 37%)
4) 2018-Q3 – $27.11 (↑ 31%)
5) 2019-Q3 – $33.86 (↑ 25%)
6) 2020-Q3 – $39.04 (↑ 15%)

Facebook daily active users in the U.S. & Canada (YoY growth):
1) 2015-Q3 – 167M
2) 
2016-Q3 – 178M (↑ 7%)
3) 2017-Q3 – 185M (↑ 4%)
4) 2018-Q3 – 185M (↑ 0%)
5) 2019-Q3 – 189M (↑ 2%)
6) 2020-Q3 – 196M (↑ 4%)

Big question: How can Facebook continue to grow advertising revenue?

Quick answer #1: Video advertising.  The targeted video ad market is already $46B and growing at 24% compounded annually (CAGR)!

Targeted video ad spend (YoY growth):
1) 2018 – $25B
2) 2019 – $38B (↑ 52%)
3) 2020P – $47B (↑ 23%)
4) 2021P – $66B (↑ 42%)
5) 2022P – $84B (↑ 28%)
6) 2023P – $100B (↑ 19%)
7) 2024P – $113B (↑ 13%)

Quick answer #2: Shoppable ads.

More #1: ‘The Social Network’ Ten Years Later: Where Are They Now?

More #2: Inside Facebook’s push to get advertisers to plug directly into its ad servers

More #3: Facebook Rolls Out New Frictionless Commerce Ad Features, Aimed At Mobile Holiday Shopping Season

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