By admin January 31, 2012 Leave a Comment

According to a repot from eMarketer online spending on digital ads will grow 20% this year to reach nearly $40 billion. More significantly it predicts that Online Ad revenues will overtake Print Ads this year.


The reasons eMarketer cites are not surprising: people are spending more time online, a perception that online ads are more quantifiable, and a growing comfort by advertisers in ad campaigns that integrate multiple channels, including online. Another reason is the fast penetration of Social Networking Sites like Twitter & Facebook.


Highlights of the report:


Online Will Pass Print for First Time in 2012:

US online advertising spending, which grew 23% to $32.03 billion in 2011, is expected to grow an additional 23.3% to $39.5 billion this year-pushing it ahead of total spending on print newspapers and magazines, according to eMarketer. Print advertising spending is expected to fall to $33.8 billion in 2012 from $36 billion in 2011.


Online Growing Even Faster Than Expected:

eMarketer’s previous US online advertising forecast from July 2011 was among the more bullish estimates issued during the year-forecasting 20.2% growth to $31.1 billion in 2011-yet consistently stronger-than-expected results from major industry players and the IAB/PwC benchmark through the first three quarters of 2011 contributed to the upward revision.


Total Ad Spending is Growing Too:

Despite concerns about the troubled economy among agencies and marketers, total ad spending in the US is expected to rebound in 2012 after rising 3.4% to $158.9 billion in 2011, according to eMarketer. US total media ad spending will grow an estimated 6.7% to $169.48 in 2012, boosted by the national elections and summer Olympics in London, eMarketer estimates.


Digital remains the sole bright spot for newspapers and magazines:

eMarketer estimates US digital newspaper ad revenues grew 8.3% to $3.3 billion in 2011. Print advertising revenues at newspapers fell 9.3% to $20.7 billion in 2011. At magazines, US print ad revenues are expected to rise 0.5% to $15.34 billion in 2012, up from $15.3 billion last year. US digital advertising spending at magazines grew 18.8% to $2.7 billion in 2011.


Complete Report:


About eMarketer
eMarketer publishes data, analysis and insights on digital marketing, media and commerce.




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