Data Shows Businesses are Spending a Lot on Google Ad Spends to Advertise their Products

Many companies spend some amount on Google ads to advertise their businesses. As more companies advertise their businesses or products, Google's revenue increases. Many companies are rapidly advertising their products and as a result, strong competition between companies is rising. According to the calculations done by Tinuiti in the final quarter of 2023, it was revealed that ad spending on Google has risen by 17% YoY in the US. On the other hand, Google click cost is the same at 8% YoY while cost per click in the final quarter of 2023 increased to 9%.

This data was collected for Tinuiti’s Q4 2023 Digital Ads Benchmarks Report. In the report, it was shown that most of the ad spend on Google is from mobile phones. Mobile phones are the leading devices that are increasingly the ad clicks on Google. Ad spend for mobile products in Q4 of 2023 was 19% YoY and the clicks increased up to 10%. The CPC recorded for mobile products was 9%. The ad spend for laptop and desktop research was 15% YoY, with a 2% increase in ad clicks. The CPC was up to 13%. Similarly, tablet search had a 4% YoY increase in ad spending, but the clicks decreased to 13% with 19% CPC.

To boost their sales, 91% of businesses are using Performance Max Campaigns on Google. This campaign was mostly seen during the holiday season of 2023. In the final quarter of 2022, only 80% of businesses were using the Performance Max campaign for their ads. So, 2023 saw an increased use of these campaigns.

Some businesses admitted that they think of Temu as the Google Shopping Auction’s top competitor in the final week of 2023. Although Temu wasn't in use until 2022, it is still rising as a competitor.

Read next: Many Apps Do Not Want to be a part of Apple’s Vision and Here are Some Reasons Why

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