The rise in the size of the digital native population is positively influencing the global search engine optimization (SEO) services market. The digital native population consists of millennials (people in the age group of 22 to 37 years in 2018) and generation Z (people in the age group of 13 to 23 years in 2018). Digital natives are individuals born or brought up during the age of digital technology and are familiar with computers and the internet from an early age. This generation is born in the era of smartphones and is constantly connected. For example, according to a survey conducted by Global News, a Canada-based news company, generation Z is estimated to log about 10 hours a day online, and about 96% of them own a smartphone. As of 2017, about 54% of the African-American population were digital natives. South Korea (7%) and Taiwan (10.3%) had the highest percentages of digital natives as of 2016. By 2050, digital natives are estimated to make up more than half the global adult population. This increase in the size of digital natives is providing significant opportunities for companies to generate revenues through advertising and subscriptions, thereby driving the search engine optimization services market.
The global search engine optimization services market is expected to grow from around $43 billion in 2019 to $86 billion in 2023 at a compound annual growth rate (CAGR) of 18.7%.
Social media has become a search engine for various products, and marketing specialists have started using social media platforms to acquire new customers. Brands are being searched for their level of presence on social media platforms such as Twitter, FACEBOOK, and YouTube by the users. These platforms help find the right customers and therefore increase the number of visits organically. Social media helps build authority when unique content is published which gains relevant backlinks and thereby increase the index of the website on search engine. Increasing social media usage thereby influences the SEO services market positively.
Digital advertising is soon projected to overtake traditional forms of advertising including print, television, radio, movies and outdoor. As consumer viewing continues to move away from traditional networks towards digital alternatives, advertisers are turning to digital advertising to reach the desired demographic segments, thus driving the demand for SEO services to improve website visibility and capture web traffic. Mobile internet advertising is another growing source fueled by increasing use of smart phones. Against this background, global digital advertisement spending is estimated to have reached over $250 billion by 2018. Spending in 2018 is estimated to have reached $247 per mobile internet user in the USA, compared to $66 in 2013. According to eMarketer, mobile advertisements are expected to have contributed 70% of digital advertising spend in 2019. Advertisers are increasingly valuing deep engagement, which this is translating to migration of advertising spend from traditional to digital platforms.