eAdvertising Report: U.S. Web Ad Spending Will Increase To $6 Billion By Year
- U.S. Web Ad Spending Will Increase To $6
Billion By Year End From $3.6 Billion In 1999
- The Online Market Will Rise To $21 Billion by
- Large Percentage Growth Online Will Still Only
Represent 4.7% of Total Ad Media Spending by 2003
U.S. web advertising
spending more than doubled in 1999 to 3.6 billion, up from 1.7 billion in 1998.
This same trend will follow through to year-end 2000 when advertising spending
will increase by 69% to reach a high of $6 billion, according to eMarketer’s
eAdvertising Report. The report also reveals that the online market will rise to
$21 billion by 2004, 3.5 times its size this year.
The report, by New York-based eMarketer, also
reveals that active Latin American internet users in the region will equal 5% of
the 372 million users worldwide by 2003. The report also reveals that although
these numbers indicate that the Latin American user base may be big enough to
create a lucrative market, it will not challenge the North American or European
regions for a very long time.
"My conclusion from these numbers is that
this thing is really booming," said the report’s author, Senior Analyst
David Halprin. "Internet advertising really is something that potentially
will be more effective advertising than anything the world has ever
Halprin also adds that many research analysts
have upwardly revised their ad revenue projections. According to the
eAdvertising Report, composite 1999 online and ad revenue projections from about
15 researchers were $2.6 billion in January 1999, $3.1 billion in December 1999
and $3.6 billion in April 2000.
Despite tremendous growth of online advertising
over the past two years, the eAdvertising report indicates that the advancements
will slow as the as the industry stabilizes and future trends become more
Growth in on-line advertising will be affected by
the following trends:
© Copyright 2000, Peter De Legge. All
to Marketing Today Newsletter FREE!
Be alerted when new content is published, get exclusive newsletter-only articles
and job listings. Join a virtual who's who of marketers from
do not rent or share our email list.
- Harvard Business School (Working Knowledge)
- Northwestern University, Medill School
Noted Marketing Pros
"I love the site!"
Seth Godin, author, Permission Marketing
As one of the "best business links on the web."
- Business 2.0 Magazine's Web Guide
"Websites worth watching."
- Folio Magazine
Most importantly, our