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US Online Advertising Spend nears $40 Billion

online_advertising_spendThe online advertising spend will approach $40 billion in the US in 2012; including: pay per click advertising, display advertising and mobile advertising. The online advertising spend is swelling 23.3% to a total of $39.5 billion this year, according to eMarketer. The double-digit growth continues the trend from previous years and is fueled by an increased comfort level with integrated marketing, the national election campaigns and gains in mobile spending.

The fast online ad spend growth has now surpassed the amount spent in the US on newspapers and magazines, combined. Unfortunately for traditional media, as the online advertising spend continues to climb, the total ad spend for print will continue to fall, along with their subscription rates. However, spending on TV ads appears to be slowly inching its way to the top, with about $30 billion more going towards TV ads than online ad spending. (Super Bowl ads, anyone?)

Double-digit growth is expected through 2014, when US online advertising spending will reach $52.8 billion. In 2016, eMarketer expects advertisers to spend $62 billion online, coming within $10 billion of TV advertising spending.

For additional information on online advertising, continue to read our blog or contact KEO Marketing today.

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