Global Online Ad Revenue Expected to Rise
*Global online ad revenue is expected to reach $13 billion by year end 2005 up from $9.6 billion in 2004
*Online ad revenue growth is nearly five times the growth of most traditional companies.
Source: "Internet Mergers: Who's Next?" BusinessWeek Online 29 August 2005
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Online Ad Impressions By Industry
*Online display impressions jumped to 102.9 billion in July 2005 up from 91.4 billion impressions in April
*MySpace alone accounted for 10.8 percent of July 2005 impressions
*Yahoo Mail and MSN Hotmail contributed to 7.6 percent and 6.9 percent of total July 2005 impressions respectively. Both email providers have seen a a drop in traffic since July 2004 when they captured 8.1 and 8 percent of all impressions.
*Automobile manufacturers' ads consisted of 4 percent of July impressions.
*GM's online advertising accounted for 27.9 persent of auto ad impressions, Toyota accounted for 19.3 percent, DaimlerChrysler accounted for 26.6 perecnt, Ford contibuted to 13.5 percent, and finally Hyundai's impressions accounted for 5.7 percent of all auto impressions.
*New York Times Co. captured the most impressions of the top ten Neilsen/NetRatings ranked consumer good advertisers with 704.5 million impressions. Hydroiderm Beverly Hills had a total of 662.8 million impressions; Coca-Cola Company, 339.9 million; L.L. Bean, 174.2 million; Procter & Gamble, 148.7; Altria Group, 121.4 million; PepsiCo, 102.9 million; Unilever, 94.0 million; Limited BRands, 93.6 million; and General Mills, 88.7 million.
Source: "Online Ad Impressions Continue to Soar" Marketing Vox 16 August 2005
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Online Adspend Estimates
*JupiterResearch forecasts online adspend to reach $18.9 billion in 2010; this is in comparison to $9.3 billion generated at the end of 2004
*Online display advertising is forecasted to grow at a 7 percent annual growth rate
*Search is expected to grow at a 12 percent annual growth rate
*Classified advertising is expected to grow at approximate 10 percent and reach $4.1 billion in 2010.
Source: "Online Ad Impressions Continue to Soar" Marketing Vox 16 August 2005
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AdSpend Growth Changes According to Source
*Reuters, AdAge, and AdWeek all agreed that the size of the internet advertising market rose 13 percent in Q2 2005.
*JupiterResearch estimated that spending for online display ads would grow by 25% by the end of 2005, meanwhile Goldman Sachs predicted a 28 percent increase, Forrester predicted a 23 percent increase, and eMarketer predicted a 34 percent increase.
Source: "The Whole Internet Picture" EMarket 02 September 2005
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Finding Your Customer
Targeted adspending is going up in 2006. Here are some stats for years past and the years to come.
2003: $285 million
2004: $648 million
2005: $925 million
2006: $1.2 billion
2007: $1.5 billion
2008: $2.1 billion
Source: eMarketer, April 20, 2006.
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US and UK Online Adspend
*Statistics released by the Internet Advertising Bureau (IAB) and PricewaterhouseCoopers (PwC), showed a record-setting US adspend on the Internet. In the first quarter of 2006, US adspend was $3.9 billion, a 38% increase from the same period in 2005.
*The IAB and PwC report also show that online advertising will be higher than national newspaper adertising by the end of 2006. The total, analysts predict, for Internet advertising will reach 13.3% of the £12.2 billion ($23 billion) UK advertising market. Newspapers, by comparison, have a share of 13.2%.
Source: eMarketer Daily, June 7, 2006.
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Following the Money
*US Financial Services Online Ad Spending vs. US Total Online Ad Spending, 2003-2010 (billions).
2003: US Financial Services: $0.9
Total Online Ad Spending: $7.3
2004: US Financial Services: $1.6
Total Online Ad Spending: $9.6
2005: US Financial Services: $1.5
Total Online Ad Spending: $12.5
2006: US Financial Services: $2.0
Total Online Ad Spending: $16.7
2007: US Financial Services: $2.4
Total Online Ad Spending: $20.3
2008: US Financial Services: $2.8
Total Online Ad Spending: $23.5
2009: US Financial Services: $3.2
Total Online Ad Spending: $26.6
2010: US Financial Services: $3.5
Total Online Ad Spending: $29.4
Source: eMarketer, June 20, 2006
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