Search Engine Optimization, Online Marketing & Web Development Services
Search Engine Optimization - home >> Search Engine News >> Online Advertising is Getting a Bigger Budget
Online Advertising is Getting a Bigger Budget
Forrester Research stated in a new report that online ads are winning more ad spending dollars.
IAB's 2004 online advertising numbers showed that US online advertising grew 32.5% in 2004 - Forrester estimated that total US online advertising and marketing spending this year will reach $14.7 billion.
Forrester analyst Charlene Li noted that, even though online ad spending is growing rapidly, marketers may still be underplaying the online channel. "There is a large disparity between the amount of time consumers are spending online and the money marketers are spending trying to reach them online," she said. "When at-work Internet use is taken into consideration, online consumers spend more than one-third of their time online - roughly the same amount of time they spend watching TV. Yet marketers spend only 4% of ad budgets online versus 25% on TV."
Forrester surveyed , who said that online advertising channels such as search engine marketing, online display ads and e-mail marketing will continue to become more effective relative to traditional channels. And they are putting their money where their mouths are.
Nearly 85% of the 99 leading marketers surveyed told Forrester that they plan to increase their online ad budgets this year, with the increases averaging 25%. Almost half of them plan to decrease spending in traditional advertising channels like magazines, direct mail and newspapers to fund the increases in online ad spending.
Additional findings from the report include:
* Search engine marketing will grow by 33% in 2005, reaching $11.6 billion by 2010.
* Display advertising, which includes traditional banners and sponsorships, will grow at an average rate of 11% over the next five years to $8 billion by 2010.
* New advertising channels drew advertiser interest: 64% of respondents are interested in advertising on blogs, 57% through RSS and 52% on mobile devices, including phones and PDAs.
Marketers are quickly losing confidence in the effectiveness of traditional advertising channels and feel that online channels will become more effective over the next three years.
* 78% of respondents said they think search engine marketing will be more effective, 53% of respondents said TV advertising would become less effective.
* The only non-digital advertising channel to reach the same level of confidence as online channels with marketers is product placement - only 8% of respondents believe that product placement will become less effective over the next three years.
Search Engine Optimization Blog Article...
IAB's 2004 online advertising numbers showed that US online advertising grew 32.5% in 2004 - Forrester estimated that total US online advertising and marketing spending this year will reach $14.7 billion.
Forrester analyst Charlene Li noted that, even though online ad spending is growing rapidly, marketers may still be underplaying the online channel. "There is a large disparity between the amount of time consumers are spending online and the money marketers are spending trying to reach them online," she said. "When at-work Internet use is taken into consideration, online consumers spend more than one-third of their time online - roughly the same amount of time they spend watching TV. Yet marketers spend only 4% of ad budgets online versus 25% on TV."
Forrester surveyed , who said that online advertising channels such as search engine marketing, online display ads and e-mail marketing will continue to become more effective relative to traditional channels. And they are putting their money where their mouths are.
Nearly 85% of the 99 leading marketers surveyed told Forrester that they plan to increase their online ad budgets this year, with the increases averaging 25%. Almost half of them plan to decrease spending in traditional advertising channels like magazines, direct mail and newspapers to fund the increases in online ad spending.
Additional findings from the report include:
* Search engine marketing will grow by 33% in 2005, reaching $11.6 billion by 2010.
* Display advertising, which includes traditional banners and sponsorships, will grow at an average rate of 11% over the next five years to $8 billion by 2010.
* New advertising channels drew advertiser interest: 64% of respondents are interested in advertising on blogs, 57% through RSS and 52% on mobile devices, including phones and PDAs.
Marketers are quickly losing confidence in the effectiveness of traditional advertising channels and feel that online channels will become more effective over the next three years.
* 78% of respondents said they think search engine marketing will be more effective, 53% of respondents said TV advertising would become less effective.
* The only non-digital advertising channel to reach the same level of confidence as online channels with marketers is product placement - only 8% of respondents believe that product placement will become less effective over the next three years.
Search Engine Optimization Blog Article...
Have a question or want more information?
View SEO Advantage website design samples including B2C, B2B and Ecommerce!
Insightful articles help you learn the basics of
SEO and marketing your business online.
Contact us and get started today!
Learn more about the SEO Advantage difference
View customer reviews on Kudzu.com
Site summary Contact SEO Advantage™ SEO News - SEO Topics Copyright © 2001- 2012
SEO Advantage, Inc. is part of the Business Incubation Network SEO Max - Germ Factory - SEO Advantage™ Privacy Policy
