Ad Spending Predictions

Many companies are switching their traditional ad spending to online ad spending.

According to Forrester Research, 59% of US marketers are increasing their budgets for online marketing and decreasing their budgets for traditional advertising. Online ad spending is projected to increase about 5.5% next year… with banner ads growing 3.3% and online videos growing 40%!

In a study done by eMarketer in July 2009, the projection for the next 12 months of traditional advertising spending will decrease 7.9%. With online ad spending increasing 5.5% and traditional ad spending decreasing 7.9%, we can’t even imagine how much of an increase there will be in 5 or 10 years! This is why it is so important to become established now before the internet becomes flooded. The longer you wait, the harder it will be to establish your business on the internet.

According to Geoff Ramsey, CEO of eMarketer,

"While media dollars have imploded, media consumption will continue to explode. Due to increasingly empowered consumers and further advances in technology, look for media to become more:

• Distributed—the same content will pop up in multiple locations, formats and channels.

• Personalized—media will be tailored to reflect what consumers have watched, read, experienced and shared.

• Contextualized—when and where consumers get their information will dictate its content and format, and that, in turn, will shape how they interact with and share it.

Each of these trends will lead to more precise targeting."