US online adspend to overtake print by 2011
This year will be the first year that US ad spending online is greater than local and national spot TV, according to new figures from Jack Myers.
Online expenditure is expected to rise from 10.6% of the total in 2008 to 12.2% this year, with the rise occurring despite a predicted 0.5% fall in online adspend to $24.5 billion in 2009.
Online’s share of the total is forecast to hit 13.4$ in 2011, surpassing print to become the top medium, before reaching 13.6% of total adspend in 2012.
Internet adspend is predicted to return to growth in 2010 with 0.7% growth, followed by increases of 5.1% and 7.2% in 2011 and 2012 respectively.
Total US advertising spending will fall 13.3% this year, said Myers. Next year, total adspend is predicted to be down 4.8%, with recovery beginning in 2011 at 1.1% growth.
In 2012, US advertising is predicted to grow 5.3% to nearly $205 billion.
A recent study from GroupM predicted that that internet advertising will account for about 15% ($64.7 billion) of global measured adspend in 2010, up from an expected 13% this year.
| 2007 | 2008 | 2009 | 2010 | 2011 | 2012 | |
|---|---|---|---|---|---|---|
| Newspapers | 18.7% | 16.3% | 14.6% | 14.0% | 13.0% | 12.1% |
| Internet* | 9.0% | 10.6% | 12.2% | 12.9% | 13.4% | 13.6% |
| Local and national spot TV | 10.7% | 10.9% | 10.1% | 10.5% | 9.7% | 10.3% |
| Custom publishing | 8.6% | 9.2% | 9.4% | 8.1% | 8.0% | 7.7% |
| Cable network TV | 7.3% | 7.8% | 8.7% | 9.1% | 9.6% | 10.0% |
| Broadcast network TV | 7.8% | 7.9% | 8.3% | 7.8% | 7.5% | 7.0% |
| Terrestrial Radio | 8.5% | 8.0% | 7.5% | 7.7% | 8.0% | 8.2% |
| Consumer magazines | 8.8% | 7.9% | 7.5% | 7.6% | 8.0% | 8.0% |
| Yellow pages (print) | 6.2% | 6.0% | 5.5% | 5.2% | 4.6% | 4.0% |
| Branded entertainment/product placement | 3.0% | 3.7% | 4.4% | 4.8% | 5.4% | 5.9% |
| B2B magazines | 3.8% | 3.8% | 3.7% | 3.5% | 3.7% | 3.6% |
| Out-of-home/place-based** | 2.9% | 3.1% | 3.3% | 3.4% | 3.5% | 3.6% |
| Local and regional cable TV | 2.7% | 2.3% | 2.0% | 2.3% | 2.2% | 2.3% |
| Broadcast syndication TV | 1.3% | 1.4% | 1.6% | 1.6% | 1.6% | 1.4% |
| Video game advertising | 0.2% | 0.3% | 0.5% | 0.5% | 0.6% | 0.7% |
| Cinema advertising | 0.3% | 0.3% | 0.4% | 0.4% | 0.4% | 0.5% |
| Mobile advertising | 0.2% | 0.3% | 0.4% | 0.5% | 0.6% | 0.8% |
| Satellite radio | 0.1% | 0.1% | 0.1% | 0.2% | 0.2% | 0.2% |
Elsewhere, figures from the Nielsen Company revealed that US advertising for the first six months of 2009 wasdown 15.4% year on year.
US ad expenditures declined by over $10.3 billion to a total of $56.9 billion in the first two quarters, said Nielsen.