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Global ecommerce ad spend: Google outstrips Facebook in 2020

December 7, 2020
Google has by far outstripped Facebook in the race for ecommerce ad spend growth in 2020, according to new research.

Google has by far outstripped Facebook in the race for ecommerce ad spend growth in 2020, according to new research.

The stats, from ecommerce investor Clearblanc, taken from a global report analysing data from over 20,000 ecommerce companies – show Facebook spend is down 8.94% compared to 2019, but ad spend on Google is up 53.25% in the same period.

The report also shows it’s been a very strong year for small online businesses globally, as they’ve seen 150% growth over the Black Friday period.

The Coronavirus pandemic’s impact on the global economy is well documented – Global GDP growth is -4.4%. Unemployment rates have exploded, and consumer confidence has fallen off a cliff.

But for e-commerce entrepreneurs, it’s been a different story. As most of the world began strict stay-at-home measures, consumer purchasing behaviour shifted online in record numbers. Clearbanc’s report analyzes data from over 20,000 companies on the Clearbanc platform and reveals what a unique year this has been for ecommerce founders amidst shutdowns around the world.

“It’s been a tough year for everyone, but e-commerce has been a standout of 2020 where the revenues of companies on Clearbanc’s platform grew 55% on average and small businesses saw a 150% spike in business over Black Friday alone,” said Clearbanc President and Co-Founder, Michele Romanow. “We’ll go back to a more normal life soon, but consumer behaviour has changed forever and we’ll look back on the COVID pandemic as a pivotal moment for the retail industry and a life changing year for founders riding the e-commerce wave.”

Insights from the report include:

● Facebook spend YTD is down 8.94% compared to 2019, which seems small considering the economy is struggling… But Google spend 2020 YTD is up 53.25% compared to 2019.
● Small online businesses (£0-38K/month) are the biggest winners coming out of Black Friday, seeing 150% growth in revenues over the weekend, compared to 20% for companies making £225K or higher per month.
● In a tough year, e-commerce is one of the few success stories — Clearbanc’s vendors saw revenues grow by 52% from March to April when lockdowns went into effect (that’s 88% higher than April of 2019).
● The top product categories on Clearbanc’s platform tell a very 2020 story: Medical Equipment & Supplies (+252.53% ), Hobbies & Collectibles (+212%), and cannabis-related goods (+105%).

For the full Black Friday and ecommerce in 2020 report, please visit http://clearbanc.com/clarity/bfcm-ecommerce-report-2020

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