News : Nearly 20% Growth in Online Ad Spending Expected in 2007

22-1-2007

Print and broadcast budgets are dropping as the budget share of online advertising continues to grow rapidly, according to studies in the US.

“With these kinds of figures coming from overseas, we can expect to see a similar amount of growth in Australia,” said Market United MD Marc Loveridge. “As the phenomenal growth of online social networking communities continues, marketers are seeing an increasing need to get their message in front of an online audience.”

Studies by US company Outsell have indicated that companies plan to allocate 18% more of their advertising budget to online ads. This is a greater budget increase than any other type of media.

Search engine advertising is expected to see the most growth, while the amount of money invested in pay-per-click (PPC) advertising may see a drop of around 1 per cent.

For more information, see the Annual Ad Spending Study 2007 at www.outsellinc.com.