Google Ad Revenue (2013–2023)
As an ecommerce business owner (or an aspiring one), it’s important to understand online marketing platforms well to know your available options. This includes running online ads and placing them where your target audience is.
One of the best places to run ads is on the world’s most popular search engine, Google. It’s such an effective marketing platform that Google is often considered to be the market leader in online advertising and has been for more than 10 years.
Google ad revenues (2013–2023)
Year-over-year increases of Google ad revenues are clear evidence of its popularity as an ad platform. According to a recent report by industry analysts, Google’s revenue from advertising totaled $237.86 billion in 2023, 6% more than 2022’s numbers. Despite the growth, it marks the slowest annual rise in more than a decade.
Google’s ad revenue has increased every year since at least 2013. That year, Google’s revenue from ads registered at $51.07, after a 16.9% increase from 2012. In 2014, this increased to $59.62 billion, before hitting $67.39 billion in 2015.
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Here’s how much Google brought in in ad revenues in the following few years:
- 2016: $79.38 billion
- 2017: $95.58 billion
- 2018: $116.46 billion
- 2019: $134.81 billion
- 2020: $146.92 billion
- 2021: $209.49 billion
- 2022: $224.47 billion
From 2013 to 2023 (both years inclusive), the search engine giant’s annual ad revenues more than quadrupled, growing at an average annual growth rate of 17%. The largest increase came in 2021, when ad revenues skyrocketed 42.6%.
Google revenue breakdown: 2023
According to the latest earnings release by Alphabet, Google’s parent company, total worldwide revenue for Google in 2023 came in at $307.39 billion, of which $237.86 billion was from Google advertising. This includes revenue from Google search, ads on YouTube, and the Google network. This represents more than three-quarters (77.4%) of the company’s overall revenues.
Breaking down Google’s revenue from 2023 even further, we see that gross Google ad revenues from search alone were at $175.03 billion, up from $162.45 billion in the previous year. This marks a 7.7% annual rise. Gross revenue from YouTube ads came in at $31.51 billion, a 7.8% increase from the $29.24 billion in 2022. Meanwhile, revenue from Google Network fell by 4.5%, from $32.78 billion, to $31.31 billion.
Google ad revenue forecast: 2024–2027
- 2024: $273.37 billion
- 2025: $296.15 billion
- 2026: $318.33 billion
- 2027: $340.18 billion
Industry analysts forecast that Google's annual advertising revenues will continue to rise, at least until 2027. By 2024, it is anticipated to reach $273.37 billion, representing a 14.9% annual growth. Over the period from 2024 to 2027, Google's revenues from ads are expected to increase at an average annual growth rate of 7.6%.