Reports Predict Web Ad Spending to Strengthen
Digital media fared better than others in 2009, and is poised for stronger growth in the coming years according to Zenith Optimedia, Magna Global, and TNS.
Global ad spending is set to resume growth next year driven largely by digital media expenditures, according to forecasts from Zenith Optimedia and Magna Global. Meanwhile, TNS Media Intelligence said online ad expenditures in the first nine months of 2009 grew 7 percent compared to the same period last year.
Magna suggests online ad revenue will reach a 16 percent share of ad spending expected worldwide in 2010, or $60 billion, as it continues to benefit from falling investment in other media. By 2015, that figure will increase to 21 percent of all major media spending.
ZenithOptimedia’s predictions suggest that share might take slightly longer to achieve. The company reported Internet ad spend will rise 9.5 percent this year, reaching 16.2 percent of all ad spending by 2012.
Driven by search ad expenditures, Zenith reported paid search will increase around 15 percent this year, as display loses its momentum, growing by 6 percent in 2009.
Zenith suggested, “the downturn has accelerated the structural shift of budgets from traditional media to the internet; in a time when marketing departments have to justify every dollar they spend, the rapid and clear returns offered by internet advertising are more attractive than the longer-term brand-building benefits offered by other media.”
Meanwhile, TNS also released its ad expenditure figures for the first nine months of 2009. The research firm reported online display ads fared reasonably well, growing 7 percent compared to overall ad spending, which fell 14.7 percent below the same period last year. That drop capped six consecutive quarters of year-over-year declines.
According to TNS, despite an overall drop of 30 percent among auto advertisers, the sector contributed to online ad growth, along with telecom and travel advertisers.
