Wednesday, November 26, 2008

Daisy Whitney's New Media Minute: Surviving the Local Advertising Crunch

While online advertising is still seeing positive growth in these tough economic times eMarketer is forecasting a dip in ad spending in 2009 to the single digits. They revised their August projections from a 14.5% gain to only a 8.9% growth and said it may take several years before the ad dollars fully return. One positive note is that the online paid search spending will grow 21.4% and that bodes well for online video publishers.

In this video Daily Whitney offers some advise on weathering the economic storm. She says,"If you want to stay a step or two ahead of the market, then you might want to take some advice from eMarketer. The research firm outlined several tips for success in these lean times, and one of those tactics is online video."

Excerpt from the eMarketer article:
"eMarketer’s revised projection, benchmarked against the latest Interactive Advertising Bureau (IAB) and PricewaterhouseCoopers (PwC) data, puts online ad spending at $25.7 billion in 2009. That is only 8.9% over the $23.6 billion that will be spent in 2008."

"In August, before the full impact of the economic slowdown was revealed, eMarketer predicted online ad spending would grow 14.5% in 2009.

Not only is the new projection lower, but recovery is expected to take longer. In 2010, online ad spending growth will return (barely) into the double digits at 10.9%, and in 2013 it will only hit 13.5%."

Source - Economy Deals Online Ad Spending a Hit - eMarketer