Online Ad Spending to Recover in 2010
Though US online advertising is forecast to decline 4.6% in 2009––the first drop since 2002––the recovering economy, combined with basic structural changes in how marketers and the public use media, will lead to growth in early 2010, according to eMarketer.
The 2009 online advertising data are revised projections from the previously issued 2.9% decline, forecast in October 2009.
Several factors since October 2009 influenced a revised forecast: Reports from major portals showed either mild growth or sharp downturns through the third quarter of 2009, and research from the Interactive Advertising Bureau (IAB) and PricewaterhouseCoopers (PwC) indicated an overall online ad market in decline for the same period.
"Continued softness in key areas keeps driving down classified advertising––formerly the third-biggest online ad format," said David Hallerman, eMarketer senior analyst. "But search ad spending remains relatively steady, and banner ad spending is down by only a small amount."
The 100 largest advertisers are still putting a relatively small share of their measured media budgets into display advertising and holding back from greater online ad investment, which continues to stymie overall market growth, eMarketer said.
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