Online Growth To Be Driven By Media, Entertainment, Finacial & Automotive

JupiterResearch forecasts that online display and search advertising spending will grow at an average annual rate of 10% between 2005 and 2010, driven by the media and entertainment, financial services and automotive industries. The industries slated for the most impressive growth over that time period are automotive (average 24%) and travel (average 13%). The JupiterResearch report entitled: “U.S. Category Advertising Forecast, 2005 to 2010,” explores what will drive online spending for top categories and how branding-focused categories are planning to spend on online advertising.

“Agencies and publishers must educate themselves on how industry categories prioritize online advertising and tailor their pitches to different industries,” said Zia Wigder, VP and Research Director at JupiterResearch. “Growing categories differ in the way they allocate funds to online advertising from their total spending.” Findings show that telecom, media and entertainment, and finance are the leading categories online today and make up nearly half of all online display and search advertising spending,” added Wigder.

JupiterResearch found that health and consumer packaged goods (CPG) companies are not big spenders online, but their focus on branding will drive them to different media to deliver their consumer messaging. CPGs will continue their focus on display advertising, dedicating 83% of their online advertising budgets to display ads in 2010. By contrast, health brands will increase their investment in search far more substantially from 2005 to 2010.

“Marketers increasingly looking for the efficiencies of online campaigns that are integrated with their off-line campaigns,” said David Schatsky, Senior Vice President of Research at JupiterResearch. “Agencies that can devise and manage integrated campaigns stand to gain more from rising ad budgets.,” added Schatsky.

For more information at http://www.jupiterresearch.com