Magna Global Sees Web Advertising Topping $25 Billion
October 19, 2010 at 7:00 AM (PT)
The latest forecast from MAGNA GLOBAL forecasts when 2010 is over, web ad dollars will hit $25.6 billion -- up by 12.1% from 2009. With display having come back strong over the past several months, MAGNA research head BRIAN WIESER pointed to the continuing growth in e-commerce, which rose during the second quarter by 14% from Q2 2009.
In a sign that branding budgets have been shifting to online, national internet spending grew 21.4%, significantly higher than local, which gained 14.5% and 11.4% for direct online, which includes paid search, the IPG unit’s research showed.
In its research note, MAGNA says this trend may also signal remaining weakness among the main direct response marketers -- i.e., small and medium-sized advertisers -- in contrast to the growth experienced by larger advertisers, who have historically focused on mass media vehicles such as radio.