Tipping Point Alert for Agencies: US Online Ad Spend to Exceed Print in 2012
January 29, 2012 by Kevin Michael Gray
Today's featured article comes from emarketer.com and offers a deep analytical report on a projected $40 billion ad spend this year. Say goodbye to print advertising and hello to the world of online ads... read the article below:
US online ad spending will post growth well above 20% again this year to reach nearly $40 billion, eMarketer estimates, as the internet continues to prove its worth to advertisers in a tough economic climate.
“Advertisers’ comfort level with integrated marketing is greater than ever, and this is helping more advertisers—and more large brands—put a greater share of dollars online,” said David Hallerman, eMarketer principal analyst.
Double-digit growth is expected through 2014, when US online ad spending will reach $52.8 billion. In 2016, eMarketer expects advertisers to spend $62 billion online.
Fast growth has put online ahead of some traditional media, especially print newspapers and magazines. This year, US online ad spending will exceed the total spent on print magazines and newspapers for the first time, at $39.5 billion vs. $33.8 billion. And as online shoots up, the print total will continue to inch downward.
Spending on TV, however, appears largely unaffected by the growth of online. As internet ad spending rises, so will TV—albeit more slowly, and from a larger base. eMarketer estimates TV will grab $72 billion in US ad dollars in 2016, $10 billion more than will go online.