UK online ad spending projection reduced
Posted by: Marketing Guy Date posted: January 15th, 2009 Published in: AdvertisingThe UK’s businesses may not be spending as much on online advertising as had previously been thought.
Analyst firm eMarketer has lowered its projection for the country’s internet spend for 2008 to £3.34 billion and 2009 to £3.58 billion.
The company had previously predicted in May that 2008 would see spending of £3.36 billion while this year it would hit £3.93 billion.
But the revision means that eMarketer’s predicted growth rate is half that of the May estimate.
However, Karin von Abrams, senior analyst and author of the report which contains the figures, said: “The good news is online is doing better than traditional media, which is down dramatically.”
She added: “Many forms of online advertising, such as paid search and email marketing, rank high in terms of accountability and return on investment.”
In October, comScore revealed that UK internet users are increasingly visiting blogs.
The firm said that this meant online marketers should consider blogs as part of their overall strategy.
Comments
[...] A report by comScore also confirms that UK consumers are increasingly turning to blogs for their information. They also recommend that anyone marketing online would be well advised to employ a blog strategy in their online advertising efforts. This isn’t a revelation, but it’s nice to see it confirmed. http://www.fusednation.com/marketing/advertising/uk-online-ad-spending-projection-reduced/ [...]
Given the state of the economy, these figures dont suprise me. In terms of future spend I think that companies will pump more into SEO and less into banner advertising. Banners are great for branding, however with such low CTR’s I think that it is only time time CPM goes down in price.