eMarketer Report Finds Online Advertising Is Booming

    August 11, 2004

A report done by eMarketer concerning online advertising as found that spending on this medium is expected to continue and increase over the year. The exact numbers from eMarketer’s report states that spending for advertising online will hit the $9.1 billion mark, $1 billion more than what was spent in 2000.


The report, called Ad Spending in the US, documents the increase of online ad spending, shows that this type of spending has increased by a factor of 20% from the previous year, and is expected to continue this growth into 2005. In fact, eMarketer’s report predicts that online ad spending will increase to $11 billion by the end of next year.

“The interactive ad industry is growing, and broadband is the driver,” says eMarketer’s Senior Analyst, David Hallerman, author of the report. “Our research shows that high-speed users spend more time and money online. With broadband usage reaching critical mass, companies are now investing more heavily in paid search and rich media advertising while spending less on other forms of media.”

According the eMarketer, search engine advertising accounts for 40% of online ad spending. However, the report states, because of high-speed Internet access, “rich media will see increasingly high growth as more companies invest in online branding opportunities such as display ads.”

“High-speed access improves everyone’s online experience, enabling the use of more complex graphics, allowing access to content on-demand and generally making the Internet more useful in every-day life,” says Mr. Hallerman.

Please visit eMarketer’s page for more information about and/or to purchase the report.

Chris Richardson is a search engine writer and editor for WebProNews. Visit WebProNews for the latest search news.