IDC Says: “Online Advertising Will Thrive!”
ADOTAS – The IDC has come out with a report that is quite contradictory to many reports that have been filtering into the media as of late. As most companies are staring to tell, the United States is in a recession. During the forecast period, IDC predicts that Internet advertising will grow about eight times as fast as advertising at large. IDC finds overall online advertising revenue will double from $25.5 billion in 2007 to $51.1 billion in 2012.
The Internet will bump up from number 5 to the number 2 medium in 5 years. It will be second only to direct marketing claims the research. Video advertising will be the main disruptor of online advertising over the next five years by attracting the most ne marketing dollars. Its revenue will grow sevenfold from $0.5 billion in 2007 to $3.8 billion in 2012 at a CAGR of 49.4%.
“The size of the online video audience as well as the time it spends watching video is sure to increase as broadband access penetration increases, connections become faster, and as more premium content is available,” said Karsten Weide, program director, Digital Media and Entertainment. “What will also drive this trend is that consumers are starting to realize that, as opposed to TV, Internet video lets them watch what they want, when they want, and increasingly also where they want.”
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