Wednesday, August 13, 2008

Lehman’s Online U.S. Advertising Forecast: Another $20 Billion In Growth By 2012 And Online Video Takes Off

I was (digitally) leafing through the latest Lehman Brothers
Internet Data Book for August this morning, and came across these
forecasts for total U.S. Internet online ad spending and online video
ad spending.

Video ads are the hottest area of growth. Analyst Doug Anmuth thinks
that online video ad spending will reach $1.1 billion this year (up 63
percent), and more than double to $2.4 billion over the next two years.

He also thinks that total advertising spending in the U.S. will go
from $26.1 billion this year to $45.5 billion in 2012 (consequently
increasing from 8.8 percent of total advertising spending to 13.7

Here are some tables with his estimates:

Also, to give some perspective on where online advertising is
compared to TV advertising, he offers this comparison chart of the
first decade of broadcast TV advertising VS. cable TV advertising Vs.
Internet Advertising. The 30 percent growth rate for Internet
advertising is double the rate of where cable advertising was at the
same point in its history, and triple the rate of broadcast TV
advertising. There, don’t you feel better already?

Article Link

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