Ad Blocking’s Penetration of the Internet Advertising World
Why is Ad Blocking Making News?
Internet advertising
Internet browsing has become a part of our day-to-day life. Some websites require us to sign up and pay and some we can access without charge. However, although these sites are free to access there’s a hidden cost involved.
That cost is the tracking of our browsing habits which is then sold to advertisers as concrete information. The information gathered from our browsing activities results in numerous ads placed on websites we visit.
In the last couple of years, Internet advertising has grown manifold. It now takes a lot of time for websites to load, especially through mobile access. These websites’ video ad content delays loading.
Ad blocking gaining traction
Internet users now resort to ad blocking in order to get rid of these ads that delay website loading. According to a Statista report and as the graph above shows, ad blocking is gaining traction and has grown by 41% globally as of 2Q15. Greece has the maximum share of ad blocking software users, whereas China(FXI) has the least.
Apple (AAPL) recently launched ad blocking capability on its Safari mobile browser and this step could pose serious threat to companies such as Google (GOOG), Facebook (FB), and Twitter (TWTR). These companies earn most of their revenue from advertising, and mobile ad blocking could curb their revenues to a huge extent.
We’ll discuss the impact of ad blocking in the following parts of this series.
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