US internet advertising to reach $22.3 billion by 2009

MUMBAI: In 2005, US Internet advertising spending will surpass $10 billion for the first time, shooting past that mark to $12.9 billion, according to eMarketer projections.

That number more than doubles 2002's $6.0 billion figure. Four years from now, companies will spend nearly $10 billion more on Internet ads, reaching $22.3 billion in 2009.

Four basic trends support the continued growth of Internet ad spending:

Larger ad budgets overall

Shifts in ad budgets from other media to the Internet

More companies including the Internet as part of their campaigns

Increased prices for both branding ads (display and rich media) and

direct response vehicles (such as paid search



eMarketer's new report, Ad Spending Trends: The Internet and Other Media, explores the changing landscape of media spending -- online and off -- and the dynamics of how the two are affecting one another.



"The spending growth is impressive, but shouldn't come as too great a surprise. These dazzling increases are possible in part because growth came from such a small base. And in the last few years the Internet has truly become a mainstream medium," said eMarketer senior analyst and author of the report David Hallerman.

According to quarter-by-quarter historical data from the Interactive Advertising Bureau and PricewaterhouseCoopers, US Internet ad spending has increased in eight of the last nine quarters. And eMarketer projects continued gains through 2005, with fourth-quarter spending hitting a record $3.8 billion.

"To call this advertising market 'hot' implies it's a fashion that might turn slack at any moment. These yearly and quarterly ad spending gains point to a sea change in media usage among marketers, reflecting how the Internet has become an essential element of daily life for more and more individuals," added Hallerman.

Some of the key questions addressed in the "Ad Spending Trends" report:

Where is the money coming from to support increased Internet advertising?

When will the internet's share of total media spending surpass the five per cent mark?

How long can Internet advertising keep increasing by 20 per cent - plus each year?

What trends will most influence total media ad spending?

Which companies are investing the most ad dollars in which media?

Latest Reads
NeoNiche appoints Harish Iyer as Head: Content Strategy

NeoNiche Integrated Solutions Pvt. Ltd appoints Harish Iyer as their Head: Content Strategy, adding new insights to the experiential marketing company. He will be responsible for spearheading the content services at NeoNiche.

MAM Marketing MAM
Dell launches new campaign ahead of festive season

Dell India has launched its latest campaign, just as the festive season kicks off.

MAM Media and Advertising Ad Campaigns
SBI Life emphasises on happier responsibilities to celebrating life

MUMBAI: SBI Life Insurance, one of the leading private life insurance companies in India, launched its ‘Main se Hum’ campaign today, establishing a sharp focus on the company’s portfolio of protection products. The 360 degree campaign targets millennials across multiple platforms including TV,...

MAM Media and Advertising Ad Campaigns
Vertoz introduces two new business verticals to its portfolio

Vertoz, a leading programmatic ad-tech and digital media company, recently announced the launch of two new business verticals - ZKraft and PubNX. In addition, it also announced the incorporation of Artificial Intelligence (AI) and Machine Learning (ML) to its proprietary programmatic advertising...

MAM Marketing Brands
Leo Burnett India wins Bridgestone’s creative mandate

Tyre manufacturing company Bridgestone has appointed Leo Burnett India as its creative agency.

MAM Media and Advertising Account
Forevermark's new campaign highlights the concept of self-determination

Forevermark, the diamond brand from The De Beers Group of Companies, has launched the ‘The Better Half Within’ Campaign, a reflection of the poised, powerful, and self-determined personality of the woman of today.

MAM Media and Advertising Ad Campaigns
Ipsos hires Sreyoshi Maitra for senior leadership position in Delhi

Ipsos, world’s third largest market research company has hiredSreyoshi Maitrain a senior leadership position,as part of its Delhi Cluster.

MAM Marketing MAM
Garnier Color Naturals announces Taapsee Pannu, Angira Dhar, Neha Sharma as brand ambassadors

Actresses Taapsee Pannu, Angira Dhar, and Neha Sharma are the new brand ambassadors of Garnier Colour Naturals.

MAM Media and Advertising People
Tata Ace Gold celebrates the Spirit of Entrepreneurship; announces 'Ghar Lao Gold' contest

Encouraging self-employment and entrepreneurship in India, Tata Motors Ace Gold kicked started a two month long ‘Ghar Lao Gold’ contest. Five lucky winners will get a golden opportunity to meet superstar Akshay Kumar and take home a brand new Tata Ace Gold worth Rs. 3.78 Lakhs. Additionally, weekly...

MAM Marketing MAM

Latest News

Load More

Sign up for our Newsletter

subscribe for latest stories