Anticipated Revenue Decline of $54 Billion for Global Publishers in 2024 Due to Ad Blocking
A recent report from ad-filtering technology group eyeo and its subsidiary Blockthrough predicts a substantial setback for publishers globally, estimating a loss of $54 billion in ad revenue in 2024. This constitutes around 8% of the total global ad spend. Formerly known as the PageFair Adblock Report, the now-renamed Ad-Filtering Report delves into ad-blocking trends and user behaviors.
The study suggests that without ad-filtering tools allowing users to view only non-intrusive ads, the projected losses could skyrocket to a much higher figure, reaching $116 billion. The research methodology relies on anonymized aggregate traffic data collected by Blockthrough from various domains to ascertain ad-blocking rates.
A notable trend highlighted in the report is the increasing number of users opting for Acceptable Ads, a specific form of ad filtering. In 2023, there was a significant surge, with 300 million users opting for Acceptable Ads, marking a robust 42% growth compared to 216 million in Q4 2021.
The report underscores the transformative role of artificial intelligence (AI) and machine learning (ML) models in reshaping ad-filtering mechanisms, making them more sustainable and scalable. However, it also acknowledges challenges faced by platforms such as YouTube, which recently implemented measures against ad-blocker users.
While users leverage ad filtering to maintain control over their online experience and avoid intrusive ads, the report emphasizes the existence of a middle ground. Users are open to nonintrusive ads, provided they are relevant and tailored to their interests.
This comprehensive report sheds light on the escalating significance of ad-blocking trends and the evolving dynamics among users, publishers, and advertisers within the digital advertising realm. Additionally, the study reveals that a significant portion of global digital advertising expenditure is at risk due to ad fraud in 2023. Approximately 22% of the entire digital ad spend and 30% of the budget allocated for mobile advertising are susceptible to being lost to fraudulent activities.
Source: adapted from an article by Gizem Yilmaz, Author of Archives for Mobile Marketing Reads.