Interactive Advertising Bullish as Ad Market Hibernates
ADOTAS — Interactive advertising is a safe haven in the current economic storm: in 2009, 10% of all American advertising dollars will go online, according to a new report issued by eMarketer.
Even with the Olympics and the presidential election the advertising market in general is doing poorly –sub-prime mortgages, credit markets, the price of gold and housing meltdowns are all to blame – but online hasn’t been affected.
Interactive advertising will grow to about $28 billion this year and account for 8.8% of ad spending in the U.S.
eMarketer’s breakdown of U.S. Online and Total Media Advertising Spending
(Billions and % of total media spending):
Online Total Media Online % of total media
2006: $16.9 $281.6 6%
2007: $21.1 $283.9 7.4%
2008: $25.9 $293.3 8.8%
2009: $30 $299 10%
2010: $35 $307 11.4%
2011: $41 $316 13%
2012: $51 $332 15.4%
“Whatever label you slap on the current economic climate, US ad spending both online and offline will be shaped by overarching business trends,” says David Hallerman, eMarketer Senior Analyst and author of the new report, US Online Advertising: Resilient in a Rough Economy.
“While Internet ad spending is in no way immune to a recession’s impact, it is more resistant to ad spending cutbacks than are other media.”
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Layoff Tracker
- AOL - 700
- Apple - 50
- Clear Channel - 2,800 total (1,000 currently)
- Google - 340
- IBM - more than 7,800
- Joost - about 90
- MySpace - in June, about 720
- World Avenue - 30 percent of workforce
- Yahoo - 2,220 total, about 700 currently
- Zango - closes, about 90, in addition to earlier layoffs
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