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Budgeting for 2012: Local Online Advertising Forecasts and Key Growth Opportunities
Borrell Associates Inc, Nov 2011, Pages: 26
The latest report from mobile marketing experts Borrell Associates, Budgeting for 2012: Local Online Advertising Forecasts and Key Growth Opportunities, points to two amazing phenomena. First, traditional media companies are gaining online share over pureplay Internet companies. And second, in a few short years, the vast majority of what we know as 'online' will be served up on mobile devices. Borrell Associates are forecasting 18% growth next year as local online advertising goes from $15.7 billion to $18.5 billion in 2012. This report details the categories and formats pegged for growth, as well as individual market estimates.
Borrell Associates' 26-page report, Budgeting for 2012: Local Online Advertising Forecasts and Key Growth Opportunities, reveals that after two years of fairly flat revenues, this advertising segment is entering another rapid-growth phase. In fact, it's two years from toppling the age-old kingpin of local advertising: newspapers. But don't count newspapers or any other traditional media out. Legacy local media companies still control 92% of all advertising, including half of all locally spent online advertising. And their share is of online is starting to grow, at the expense of local pureplay Internet companies. Borrell Associates are forecasting 18% overall growth as local online advertising goes from $15.7 billion this year to $18.5 billion.
In addition, a subset of online, mobile advertising (smartphones and tablets), will push the total expenditure to more than $26 billion by 2016. The report contains 12 charts and graphics, along with two appendices detailing online ad spending by format (banners, email, video, paid search and streaming audio) for 210 U.S. markets. The break-outs include estimates for 2011 as well as forecasts for 2012.
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