The newspapers will be reading more about it too, as the vital cash lifeblood of both print and television has been forecast as heading online in even greater numbers.
Not only will more advertising dollars find their way into the pockets of the Googles and Yahoos of the online world, they’ll fling themselves at those and other Internet ad properties at a faster rate than predicted.
A Bloomberg report cited Credit Suisse First Boston, which now sees $16.6 billion being spent in 2006 on online advertising. That’s an increase of 32 percent, according to CSFB analyst Heath Terry’s report; he had originally called for a 21 percent growth in that spending.
Rich media advertising looks like it will be the big winner, as Terry’s report sees 66 percent growth in those sales. This will happen despite AOL not being able to place graphical ads on Google search results as part of the $1 billion investment Google made in AOL. A Google executive dismissed reports claiming graphic content would appear there.
CSFB sponsored a survey of advertising executives to find out where their ad dollars may go next year; the report listed the survey’s results:
Almost half of the ad executives in a Credit Suisse survey intend to increase Internet spending by almost 30 percent in the next year, according to the brokerage’s Dec. 9 report. The study, conducted by New York-based market researcher TNS Media Intelligence for Credit Suisse, included 90 companies and 10 ad agencies, with average accounts of $22 million.
Sponsored links next to search results, the main source of sales for Google, and graphical display ads, like the banners seen on Yahoo’s site, will remain the two most popular types of online ads in 2006, Credit Suisse’s Terry forecasts.
—
Email the author here.
Add to document.write(“Del.icio.us”) | DiggThis | Yahoo My Web
David Utter is a staff writer for murdok covering technology and business.
