A new report by the AIM Group states that revenues from the global classified advertising industry are closing in on the $100 billion mark and still skyrocketing, indicating the now mature online classifed industry which grew from print.
The report, dubbed the 2014 Global Advertising Annual is a three-month research project into classifieds globally and is the first comprehensive, researched, estimate of classified advertising revenue ever published.
According to Peter M. Zollman, founding principal of the AIM Group and the report’s editor: “Classified advertising revenue is growing steadily around the globe and with margins at key classified sites as high as 80 percent, it’s a great business to be in.”
“Investment companies are pouring millions of dollars into existing classified companies, especially in emerging markets. This report provides an excellent overview of the trends, the ‘Big Five’ classified companies worldwide, and the wild cards that are making the business so interesting,” Zollman added.
Standing at an estimated $92.1 billion in revenue worldwide, classifieds are heavily going online from print and digital revenue is estimated at 77 percent of the total, or $75.7 billion of the total.
According to the report, the “Big Five” global classified companies include Axel Springer, Craigslist, EBay, Schibsted and Naspers while Berlin-based Rocket Internet is worth watching.
The 58-page report includes more than 30 “sites and apps to watch” from all around the world covers more than 200 companies worldwide.
“We derived our estimates from existing and original research in the Top 22 countries which generate 80 percent of the global GDP,” said Jim Townsend, editorial director of the AIM Group. “Our $92.1 billion global estimate is down slightly from the $100 million we estimated 10 years ago — it has been a fascinating ride to watch the growth,” Townsend said.
( Disclosure, I work for the group as its Africa Researcher and Classfieds Consultant)