Companies spent the most with giants Google and Meta in Q3 2023, shifted among other platforms according to new data from Emburse
Emburse, a leader in expense management solutions, released new information about corporate online advertising spend in the third quarter of 2023, as well as spend on leading AI company, OpenAI. The data reveals that companies spent 8% less on digital advertising than in the same period last year. Despite this overall decline, spend on Bytedance (owner of TikTok) advertising more than doubled annually. Ad spend on X (formerly Twitter) grew by 31% over the second quarter, but was still 23% lower than the same period in 2022.
Emburse’s data shows that companies are maintaining a stable base by advertising through well-established online channels, while also experimenting with newer or shifting platforms to reach changing audiences. Google and Meta consistently hold the greatest share of digital ad dollars, but other platforms experience more volatility, both on a quarter-over-quarter and year-over-year basis. Spend on X went up in Q3 over Q2 but is still significantly down compared to the year prior. However, spend on Bytedance – whose TikTok app reaches a more Gen Z and young Millennial audience – saw the opposite with a 111% increase over Q3 2022 but a 31% decrease from Q2 2023.
Recommended AI News: Riding on the Generative AI Hype, CDP Needs a New Definition in 2024
Spend on OpenAI grew 168% in Q2 over Q1 2023 and an additional 51% in Q3. As a result of the growing popularity and benefits of generative AI, more vendors have added AI capabilities to their existing platforms and new players have entered the market.
Recommended AI News: Nokia to Acquire Fenix Group, Strengthening Wireless Offering in the Defense Segment
“Younger generations gain more buying power with each year, so to reach them effectively, companies need to continually refresh their target audiences,” said Emburse’s Chief Experience Officer Johann Wrede. “Many of our customers are focusing the bulk of their budgets on the platforms where they see the least risk or controversy while experimenting with new ways to reach this important group.”
Emburse plans to continue monitoring spend in the space in addition to digital advertising as it helps paint an overall picture of where finance leaders and executives are seeing the most return for their budgets.
Recommended AI News: Accenture to Acquire Vocatus, Expanding Its Capabilities in Behavioral Pricing Strategies
More than 20,000 companies trust Emburse for its corporate card and spend management solutions, representing over $80 billion in spending transactions a year. It will continue to monitor corporate spend among its customers to help bring insights such as these to light.
[To share your insights with us, please write to sghosh@martechseries.com]
Comments are closed.