04.13.06
Internet Advertising Set to Overtake Outdoor, Radio
Internet Advertising Set to Overtake Outdoor, Radio
April 12, 2006
Spending on Internet advertising will overtake worldwide outdoor ad spending next year, and will catch up with radio in 2008, according to Zenith Optimedia Group.
“We have revised our internet forecasts upwards once again, as it has continued to exceed expectations,” they note. “We now predict it will attract 6.5% of all advertising in 2008, up from 4.5% in 2005 (and up from the 6.0% we predicted for 2008 back in December).”
They suggest that radio advertising will continue to decline, as advertisers shift spending from radio to online media.
“The internet is now firmly established as a mainstream advertising medium in developed markets, and in many developing markets too. We predict it will overtake outdoor in volume in 2007, even though outdoor is gaining share itself, and that by 2008 it will be catching up with radio too (which will have a 7.9% share, down from 8.5% in 2005).”
ZenithOptimedia revised its 2006 outlook up slightly, calling for a 6% increase in global ad spend–up from 5.9% in its December 2005 forecast. US ad spend is now projected to grow 5.2% this year, vs. 5.1% in December.
