Online Ad Spending to Outpace Overall Ad Market Growth…

As taken from the Travel Industry Assocation of America’s TravelCom Report (Vol.1 Issue 16):

ZenithOptimedia forecasts that global Internet advertising spending will grow more than 28 percent in 2007, while ad spending in other media will grow by less than 4 percent. The shift to the Internet among U.S. marketers is even more dramatic, with online ad spending expected to grow nearly 19 in 2007, within an entire advertising industry set to grow by only 1.4 percent. The Internet’s share of worldwide total ad spending is projected to increase from 5.8 percent in 2006 to 8.6 percent in 2009. The Internet already attracts more than 10 percent of adspend in three markets (Norway, Sweden and the UK), and by 2009 is expected to do so in ten markets (Australia, Canada, Israel, Japan, Norway, South Korea, Sweden, Taiwan, the UK and USA). The Internet has its highest share in the UK, where it will attract 13.5 percent of adspend this year and 21.5 percent in 2009. Nevertheless, even in developed markets the Internet receives a much lower share of ad budgets than the amount of time consumers devote to it. According to ZenithOptimedia, in 2005 consumers in the USA, Japan and the UK (the top three ad markets) spent 21.9 percent of their media time using the Internet, yet advertisers in those three markets spent only 6.8 percent of their budgets online. (Source: eMarketer)

By Ken Yeung

Ken Yeung is a journalist fascinated with the tech industry and internet culture. He's currently Flipboard's Assistant Managing Editor, overseeing news curation in technology, science, gaming and health. In addition to his day job, Ken's the co-host of "The Created Economy" podcast, examining the Creator Economy. In a past life, he was a former reporter for VentureBeat and The Next Web, covering tech startups, the industry's innovations and funding.