Ad spending on online media reached the record figure of $25.8 billion in the year 2010 surpassing all the other media. Even after the downward turn due to recession, online ad sector was one of the fastest to recover with the online expenditure recording a rise of 13.9% in 2010.
The reports from Interactive Advertising Bureau and PricewaterhouseCoopers give the online ad expenditure figures for each quarter from 2008 to 2010. These figures indicate average expenditure of $5.62 billion in the first three quarters of 2008 and 2009 and the figure crossing $6 billion mark in the fourth quarters of 2008 and 2009. In year 2010, the online ad spending crossed the $6 billion mark in the 2nd and 3rd quarter and reached a record $7.25 billon in the fourth quarter.
Today there are numerous ways of accessing the internet. Internet connectivity has become a common feature in mobile phones as well. The types of online activities and functionalities have also increased many folds. As a result, people are spending more time online compared to any other media. This has made internet marketing the first choice for marketers.
Analysts are estimating double digit growth in the online ad spending between 2011 and 2014. This is much higher compared to the estimated growth in total ad spending which is only about 2.9% between 2011 and 2014. The coming four years will see online ad spending reach new heights and cross the $30 billion mark in 2012 and $40 billion mark in 2014.