The primary source of revenue for Facebook is digital advertisements. Around 97.5% of its revenue comes from advertising.
Facebook’s ad revenue averaged 11.95% in 2023. Hence, if the trend continues, ad revenue is projected to reach $147.71 billion in 2024.
In this article, I have uncovered the latest figures of Facebook ad revenue worldwide and in the United States.
Facebook Ad Revenue: General Statistics
Facebook’s soaring ad revenue has made it a dominant force in the digital advertising landscape, revolutionizing online marketing strategies.
- Facebook ad revenue reached $131.948 billion in 2023.
- In 2022, Facebook generated $113.64 billion in ad revenue.
- Facebook earns more than 97.5% of all revenue from advertising.
- Mobile is responsible for 94% of Facebook’s ad revenue.
- The typical Facebook user views 12 advertisements every month. Women, on the other hand, click on 15 ads every month.
- 74% of the call-to-action buttons in Facebook advertising encourage users to “Shop now.”
- More than 67% of marketers use Facebook as the most preferred social media platform for their business.
- The average click-through rate of Facebook ads around all industries is 0.89%.
- Facebook has 3.98 billion monthly active users. It is thus the most popular social networking site globally.
Sources: Statista, Dazeinfo, Hubspot, Meta.
Facebook Ad Revenue: Year-By-Year
- Facebook generated an advertising revenue of $131.94 billion in 2023. That was an increase of 16.2% compared to 2022.
- Facebook’s ad revenues have now surpassed $100 billion for three years running.
- Facebook’s ad income increased by 18.3% in 2022.
- Only about 2% of Facebook’s global revenue in 2020 came from payments and other fees, compared to approximately 97.9% from advertising.
Let’s have a look at the Facebook ad revenue over the years.
| Year | Facebook Ad Revenue |
| 2009 | $764 million |
| 2010 | $1,868 million |
| 2011 | $3,154 million |
| 2012 | $4,279 million |
| 2013 | $6,986 million |
| 2014 | $11,492 million |
| 2015 | $17,079 million |
| 2016 | $26,885 million |
| 2017 | $39,942 million |
| 2018 | $55,013 million |
| 2019 | $69,655 million |
| 2020 | $84,169 million |
| 2021 | $114,934 million |
| 2022 | $113,642 million |
| 2023 | $131,948 million |
Source: Statista.
Facebook Ad Revenue in the United States
Facebook is estimated to generate an advertising revenue of $55.77 billion in 2024 in the United States.
Comparatively, the ad revenue of Facebook was estimated to have reached $51.34 billion in 2023 in the country.
Hence, Facebook’s ad revenue is anticipated to increase by 8.63% in 2024 in the United States.
The following table displays the advertising revenue generated by Facebook in the United States over the year.
| Year | Facebook ad revenue in the US |
| 2024* | $55.77 billion |
| 2023 | $51.34 billion |
| 2022 | $48.68 billion |
| 2021 | $50.57 billion |
| 2020 | $38.09 billion |
| 2019 | $31.27 billion |
| 2018 | $24.52 billion |
*- estimated values
Source: Statista.
Facebook users in the United States and Canada spend the highest on Facebook ads.
These countries play a crucial role in growing the platform’s ad revenue.
In Q3 2023, Facebook users from these countries spent an average of $56.11 per user on Facebook ads. That was three times more than the global average.
The average revenue per Facebook user worldwide as of Q3 2023 was $11.23.
Source: Oberlo.
Facebook Ad Types
Facebook offers various types of ads to cater to different advertising objectives and formats. Here are some common types of Facebook ads:
Image Ads:
These are static ads that consist of a single image with accompanying text. Advertisers can create visually appealing images to grab users’ attention and convey their message effectively.
Video Ads:
Video ads on Facebook allow advertisers to showcase their products or services using engaging video content. They can be in-feed videos, in-stream videos, or story ads, providing a dynamic and immersive advertising experience.
Carousel Ads:
Carousel ads allow advertisers to display multiple images or videos within a single ad unit. Users can swipe through the carousel to view different products, features, or storytelling elements, making it a versatile format for showcasing a variety of offerings.
Collection Ads:
Collection ads combine images or videos with product catalogs. When users click on the ad, it opens a fullscreen experience showcasing a collection of products. Advertisers can highlight multiple items and provide a seamless shopping experience within the Facebook app.
Lead Generation Ads:
Lead generation ads help businesses capture user information, such as names and email addresses, directly within the Facebook platform. This streamlined process makes it easier for advertisers to generate leads and build their customer base.
Sponsored Stories:
Sponsored stories amplify user-generated content, such as check-ins, likes, or recommendations, by turning them into ads. Advertisers can leverage positive user experiences to increase brand credibility and reach a wider audience.
Facebook earns revenue from these ads through a bidding system and various pricing models:
- Cost per Click (CPC): Advertisers are charged whenever users click one of their adverts.
- Cost per Thousand Impressions (CPM): You will be charged for every 1,000 impressions of your advertising.
- Cost per Action (CPA): As an Advertiser, you are charged when consumers perform a certain action as a result of the advertisement, such as completing a purchase or subscribing to a newsletter.
The actual amount advertisers pay depends on factors such as bidding competition, ad quality, targeting parameters, and the chosen pricing model. Facebook’s vast user base and the effectiveness of its ad targeting and engagement tools contribute to generating substantial advertising revenue for the company.
Facebook Ad Revenue Increased From $113.64 To $131.94 Billion In A Year
Facebook’s ad revenue jumped from $113.64 in 2022 to $131.94 billion in 2023. That was an increase of over $18.3 billion in a year.
Hence, according to the yearly growth of Facebook ads revenue, the figure is set to cross the $200 billion benchmark by 2027.
To know more about the ad revenue of other social media platforms, check out these related reads:
