US analyst eMarketer has made a series of predictions for the advertising and media industry in 2006, signalling seven trends that will rocket to the forefront of the arena.
The internet yet again looks set to dominate the media world, with 5.4% of all US adspend forecast to be devoted to online advertising, marking the first time the figure has exceeded 5%. By 2009, eMarketer asserts that internet adspend will rise to over $22 billion, representing 7.5% of all advertising spend.
Retail e-commerce is another part of the internet world expected to enjoy a good performance in 2006, with US online retail sales predicted to reach $105 billion in 2006, up 21% from 2005’s total of $87 billion.
Recent research from Forrester Research claims that online sales in the US will reach $329 billion in 2010, up from $172 billion this year, accounting for 13% of total US retail (see US Online Sales To Hit $329 Billion In 2010).
Broadband penetration will continue to grow throughout this year, with eMarketer forecasting broadband users in the US to rise to over 124 million in 2006 and exceed 157 million in 2008, up from the current 105 million.
Online video distribution and consumption is expected to grow significantly in 2006, with US spend on internet video advertising forecast to rise by a massive 71% in 2006, hitting $385 million.
Mobile television also looks set to enjoy a healthy performance in the coming year, with eMarketer projecting that 3 million US consumers will watch TV programming on their mobile phones in 2006, up from 1.2 million in 2005. By 2009, there will be 15 million video viewers, an estimated 6.2% of total mobile subscribers (see US Mobile TV Subscriptions To Hit 15 Million By 2009).
Search engine portals are expected to continue to expand their reach in the online world in 2006, with US users rising by 5% to 146 million this year, up from 138 million last year.
eMarketer’s final prediction for 2006 sees voice over internet protocol (VoIP) entering the mainstream with the number of VoIP access lines growing to just under 14.5 million, rising from an estimated 10 million in 2005.
According to high-tech market research firm, In-Stat, the overall market for VoIP is forecast to reach $1.3 billion in 2009, up from $208.7 million in 2004 (see VoIP To Reach $1.3 Billion By 2009).
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