Despite recent reports that Internet ad spending is slipping, the latest studies confirm strong growth for this year with projections for continued growth.
In a detailed report released last Thursday [Sept. 28], eMarketer projected a 26.8 percent rise in Internet ad spending this year, with spending increases through 2010 that will remain sound.
Internet ad spending increased by 49 percent in the first half of this year compared with the same period last year, far outpacing all other media (network tv was up 6.3 percent).
Translated to dollars, this year’s Internet ad spending will reach $15.9 billion, with projections of $25 billion by 2010.
The eMarketer study tracked spending for specific online ad formats. Paid search advertising continues to dominate and will account for more than 40 percent of total Internet ad spending for the next five years, but online video spending will grow at a faster pace and double its share of total Internet spending by 2010.
Online video spending will jump 42.6 percent this year, with similar large increases through 2010. Paid search will rise by 31.4 percent this year, with lower increases in the years ahead. Other Internet ad formats, including display ads and classifieds, will increase at slightly lower rates.
This year, paid search advertising represents 42.5 percent of Internet ad spending compared with 9 percent for online video, but by 2010 the numbers will be 40.8 percent and 18 percent. Paid search will generate $6.7 billion in revenue this year, compared with $1.4 billion for online video. By 2010, more than $10 billion will be spent on paid search and $4.5 billion on online video.
The growth of online video advertising is significant, but it is being curbed by the lack of inventory on major sites and the inability of popular social networking sites to attract major advertisers, according to eMarketer senior analyst David Hallerman. “Premium pages like Yahoo, ESPN and The New York Times only have so much space to sell,” he said. “The advertisers who look at social media sites aren’t deep pocketed and the sites don’t appeal to traditional advertisers who have wariness about putting advertising on sites they don’t have control over.” But these sites could ultimately attract more video advertising by playing more videos. “More traditional video content online will support more traditional video advertising,” Hallerman said. For more information, contact David Hallerman at eMarketer at 212-763-6010.
Oscar Nominees Delve Into The Art Of Editing At ACE Session
You couldn’t miss Sean Baker at this past Sunday’s Oscar ceremony where he won for Best Picture, Directing, Original Screenplay and Editing on the strength of Anora. However, earlier that weekend he was in transit from the Cesar Awards in Paris and thus couldn’t attend the American Cinema Editors (ACE) 25th annual panel of Academy Award-nominated film editors held at the Regal LA Live Auditorium on Saturday (3/1) in Los Angeles. While the eventual Oscar winner in the editing category was missed by those who turned out for the ACE “Invisible Art, Visible Artists” session, three of Baker’s fellow nominees were on hand--Dávid Jancsó, HSE for The Brutalist; Nick Emerson for Conclave; and Myron Kerstein, ACE for Wicked. Additionally, Juliette Welfling, who couldn’t appear in person due to the Cesar Awards, was present via an earlier recorded video interview to discuss her work on Emilia Pérez. The interview was conducted by ACE president and editor Sabrina Plisco, ACE who also moderated the live panel discussion. Kerstein said that he was the beneficiary of brilliant and generous collaborators, citing, among others, director Jon M. Chu, cinematographer Alice Brooks, and visual effects supervisor Pablo Helman. The editor added it always helps to have stellar acting performances, noting that hearing Cynthia Erivo, for example, sing live was a revelation. Kerstein recalled meeting Chu some eight years ago on a “blind Skype date” and it was an instant “bromance”--which began on Crazy Rich Asians, and then continued on such projects as the streaming series Home Before Dark and the feature In The Heights. Kerstein observed that Chu is expert in providing collaborators with... Read More