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US Online Adspend To More Than Double

US Online Adspend To More Than Double

US online adspend will more than double as a percentage of total media, rising from a 6% share of total media in 2006, to slightly more than a 12% share in 2010, according to a new forecast from eMarketer.

In roughly the same period, eMarketer predicts that online spending will nearly treble, rising frmo $16.9bn in 2006 to $42bn in 2011.
US Online And Total Media Advertising Spending, 2006-2011 (billions and % of total media spending) 
  Internet Total media Internet % of Total Media
2006 $16.9 $281.6 6.0%
2007 $21.4 $287.5 7.4%
2008 $27.5 $295.5 9.3%
2009 $32.5 $301.5 10.8%
2010 $37.5 $309.0 12.1%
2011 $42.0 $316.0 13.3%
Note: eMarketer benchmarks its US online advertising spending projections against the Interactive Advertising Bureau/PricewaterhouseCoopers data, for which the last full year measured was 2006; online ad data includes categories as defined by IAB/PwC benchmark – display ads (such as banners), paid search ads (including contextual text links), rich media (including video), classified ads, sponsorships, referrals (lead generation) and e-mail (embedded ads only); excludes mobile ad spending; eMarketer benchmarks its US total media advertising spend predictions against the Universal McCann data, for which the last full year measured was 2006; includes television (broadcast and cable), radio, newspapers, magazines, internet (excludes mobile), outdoor, direct mail, yellow pages and other.
Source: eMarketer

The latest figures from the Interactive Advertising Bureau and PricewaterhouseCoopers show that US internet advertising revenues for the first half of 2007 were nearly $10 billion, setting another new record and representing a nearly 27% increase over the first half of 2006 (see US Online Adspend Sets New Record).

The average ad spend per internet user is also growing. In fact, says eMarketer, 2007 marks the first year that marketers will spend more than $100 to reach each person online. In addition, by 2011, advertisers will be spending nearly $200 per user.

Figures released by the Internet Advertising Bureau (IAB) revealed that UK internet advertising recorded above-expectation 41.3% year on year growth in the first half of 2007 (see UK Internet Advertising Records 41.3% Year On Year Growth).

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