In an article on Bloomberg, it was reported that despite of all the hype about Facebook Inc (NASDAQ:FB) and Google Inc (NASDAQ:GOOGL)’s increasing market share and steps in ads market, both companies are going to lose a big chunk of the $19 million market. The source quoted a study by Ready Set Rocket LLC, which has said that marketers are now trying to break the chains of monopolistic perimeter set by Facebook Inc (NASDAQ:FB) and Google Inc (NASDAQ:GOOGL). They are now giving their money to startups like Chango and AddThis in order to get the audience from the web. The source said that these strategies are working for the advertisers.
According to Emarketer, there will be a massive decline in the market share of Facebook and Google in the mobile-ad spending. The study reveals that the market share for ads for Facebook Inc (NASDAQ:FB) and Google Inc (NASDAQ:GOOGL) will do down to 48% in 2016 from 55% this year. This is a red flag for both companies. Facebook Inc (NASDAQ:FB) and Google Inc (NASDAQ:GOOGL) were regarded as the only ads juggernauts of the modern technological space. But startups have given advertises some cost effective, workable and customizable solutions for getting audience.
Users have got apps like Kayak, which allows them to bypass browser-based ads. This depletes the share of Facebook Inc (NASDAQ:FB) and Google Inc (NASDAQ:GOOGL). Google will suffer the most from this trend, according to the source. Its market share is 37% currently, which will do down massively in the coming years.
The source also mentioned some alternatives which are being used by advertisers as an alternative of Facebook Inc (NASDAQ:FB) and Google Inc (NASDAQ:GOOGL). They include iAd by Apple, Supersonic and Ads Network. Another startup called AppLovin is becoming a top choice for marketers. It is expected to report $100 million in gross revenues by next year.
Ken Griffin holds 4.58 million shares worth $307.87 million of Facebook Inc. (NASDAQ:FB).