by clicking the arrows at the side of the page, or by using the toolbar.
by clicking anywhere on the page.
by dragging the page around when zoomed in.
by clicking anywhere on the page when zoomed in.
web sites or send emails by clicking on hyperlinks.
Email this page to a friend
Search this issue
Index - jump to page or section
Archive - view past issues
Media Intelligence : July 2007
Internet continues upward surge The gures from the annual ZenithOptimedia global advertising survey predict that internet ad spend will grow 28.2% in 2007, while the rest of the industry will increase by a more modest 3.9%. • The internet s share of total ad spend will increase from 5.8% in 2006 to 8.6% in 2009, and is headed for well over 10%. • The internet will overtake outdoor in 2007 and radio in 2009. The report explained, "We expect the internet to take nearly 9% of global ad spend by 2009, but experience from the most developed markets suggests it is heading for well over 10%. The internet already attracts more than 10% of ad spend in three markets (Norway, Sweden and the UK), and by 2009 we expect it 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% of ad spend this year and 21.5% in 2009. "Newspapers and magazines are still growing -- by 3% and 4% a year respectively. Even after adjusting for in ation, print ad spend continues to grow by 1% a year. However, classi ed advertising is migrating to the internet or being substituted by auction or search sites, while newspaper circulation continues to decline in the developed world." In line with the favourable economy, ZenithOptimedia predicts the world ad market will grow 5.4% in 2007, 5.8% in 2008 and 5.3% in 2009, staying ahead of the 5.1% rate at which it has grown for the previous ten years. Asia Paci c, Central and Eastern Europe, and the Middle East are driving the above-trend growth with Central and Eastern Europe ad markets moving rapidly towards maturity. Despite the small markets in this region, ZenithOptimedia forecasted growth of approximately US$13.8 billion between 2006--2009, compared to the much larger markets in Western Europe, where they predict growth of about US$12.9 billion. "Asia Paci c spend is accelerating in the run-up to the Beijing Olympics in 2008. We expect growth to drop o slightly in 2009, the year after the Olympics, but it should remain faster than the growth in North America, Western Europe and Latin America. China, India and Indonesia all continue to grow at double-digit rates. The gap between Asia Paci c and Western Europe will narrow from US$11 billion in 2006 to just US$5 billion in 2009." 16 MediaTitles Global ad spend BEIJING OLYMPICS TO BOOST ASIA PACIFIC AD SPEND UNTIL 2008 Internet expenditure by type US$million, current prices Currency conversion at 2005 average rates 2005 2006 2007 2008 2009 Display 7,043 8,617 10,462 11,849 13,292 Search 7,833 10,610 13,993 16,803 19,711 Classified 3,291 4,578 6,169 7,532 8,856 Other* 545 649 721 742 825 Total 18,712 24,454 31,344 36,926 42,685 * email and mobile advertising Paid search is already the largest type of internet advertising, and the gap between search and display is widening. However, display includes video ads and other innovations that are exploiting the creative opportunities offered by high-speed broadband, and still has a lot of potential for growth. Meanwhile, classified continues to migrate from print to online.
2009 - 2010