Internet ad spending is expected to hit $61.98 billion and surpass newspapers to become the leading ad medium in the US by 2011, according to Online Media Daily’s review of a report by private equity firm Veronis Suhler Stevenson.
More highlights from the report:
* Ad spending on pure-play Internet sites reached $15.1 billion for 2006, and is projected to hit $34.78 billion in 2011, for a CAGR of 18.2%.
* Growth of 25.79% is projected for ad spending on traditional media-based Internet sites, which hit $8.585 billion in 2006, and is projected to reach $27.2 billion in 2011.
* National Internet advertising, which includes search, display, sponsorships, etc., is projected to remain the dominant dollar-generator with $38.897 billion forecast for 2011, representing an 18.2% CAGR from 2006-2011.
* Blog, podcast and RSS advertising is projected to reach $1.138 billion by 2011, registering the fastest growth rate at a 70.9% CAGR forecast from 2006-2011.