Paid Search To Hit $8.9 Billion In 2010
JupiterResearch’s latest Paid Search and Services Forecast 2005-2010 showed that almost two-thirds of adult internet users still claim they will not pay for content to avoid online advertising.
Jupiter projects paid content searching to grow to $3.8 billion this year, a rise of 31% and forecast to hit $8.9 billion in 2010.
Paid search’s strong growth is confirmed by estimates from Borrell Associates, forecasting the medium to rocket over the next four years, almost tripling and climbing to a predicted $907 million next year from $347 million this year (see Strong Outlook For Online Advertising).
By 2010, Borrell predicts spending on local search will reach $4.07 billion, accounting for 12% of the forecast $34.81 billion online advertising market for that year, while local display adverts will total just $4.54 billion.
Analyst eMarketer echoes paid search’s predicted growth, estimating the advertising channel to grow in the US by 40% over the year to $5.4 billion, up from previous estimates of $4.7 billion (see Online Adspend To Hit $13 Billion In 2005).
These forecasts are reflected in the Australian advertising market, with Frost & Sullivan claiming the paid search market will total 130 million Australian dollars this year, up from A$70 million in 2004 and reaching A$350 by 2009 (see Paid Search Fastest Growing Online Area In Australia).