The Online Advertising Attack

Online advertising is becoming a serious rival to the traditional marketing. Google’s new advertising service could make the internet an even more valuable marketing medium - The Economist, 25 May 2005

A 30-second prime-time television spot was once considered to be the most effective form of advertising, but search engine ads are replacing it. This year, predicts Advertising Age, the combined advertising revenues of Google and Yahoo! will rival the combined prime-time ad revenues of America's three big television networks, ABC, CBS and NBC.

"Terry Semel, Yahoo!'s boss, believes there is a lot more growth to come as firms become even more familiar with online advertising. He happily points out that many big firms still allocate only 2-4% of their marketing budgets to the internet, although it represents about 15% of consumers' media consumption—and is growing. Many young people already spend more time online than they do watching TV."

This means that marketers would have to take online advertising as part of their marketing mix seriously.

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Global Internet Advertising Revenue Posted by Hello
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