Statistics and analysis to analyze need, potential and benefits of AdSigma
AdSigma is a digital display advertising platform that is using the blockchain technology to benefit the advertisers and publishers and protect them against the unjust practices of the advertising networks. There is enormous scope for decentralized platforms to revolutionize the digital advertising space, as the blockchain technology is highly appreciated for various reasons, like — trust, security, irreversibility, smart contracts, etc. Also, the traditional centralized business model is behaving highly unfavourable towards the advertisers and publishers. A survey conducted shows that only 22% of the advertisers are satisfied with their conversion rates.
Various other reasons that point towards the need for AdSigma are given below:
Rising internet consumption
On an average, a person spends over 7.5 hours watching, streaming, listening or consuming media, with television and internet accounting for the maximum consumption. TV has been dominating the list with the highest consumption since decades; however, the same is about to change. The daily consumption gap between TV and internet, which was 140 minutes in 2009, has shrunk significantly to just 18 minutes in 2017. Expectedly internet will overtake the TV consumption in a couple of years. This growing craze for the internet is attracting the businesses to cater online.
Advertising Revenue share
With falling viewership of the TV and rise of the internet has led to an end in the TV’s reign of bagging the highest advertising share. In 2017, the digital advertising revenue surpassed the TV ad revenue, securing 39.1 % of the total advertising revenue. This clearly indicates the digital advertisings will rule over the TV advertisings.
A rise in the global digital advertising spending
The global advertising spending, which was $412.54 billion in 2010 has crossed $530 billion in 2017. The digital advertising revenue has been increasing consistently, while the paper-based advertisements and some others have seen a steep decline over the past years.
Increasing advertising revenue of the ad networks
The major revenue of the advertising networks come from the commission they deduct while providing the middleman services to the advertisers and the publishers. About 40% of the global digital advertising spending goes to the advertising networks as commission. The total revenue of ad networks crossed $220 billion in 2017, with Google and facebook bagging over $100 billion. Google, the most popular advertising network charges a commission to the publishers. This is unjust to them and creates a need for an alternative platform, working without the need of such intermediaries.
The share of companies in the digital advertising revenue
Google and Facebook dominate the market. The share of these two giants is big already and growing consistently. The biggest share of the pie is with Google, whose more than 85% income comes from the advertising revenue. They charge an exorbitant 32% commission rate to the publishers. Hence, there is a need to prevent the publishers and advertisers against the unjust deeds of the ad networks.
Hence, it has become extremely crucial to provide an alternative platform to the publishers and advertisers. AdSigma’s blockchain based decentralized platform is the solution for the rising demand for digital display advertising and a way to protect the advertisers and publishers against the inequitable deeds of the advertising networks.
