eMarketer Issues Hit Predictions For 2009
By Anna Johnson on December 17th, 2008eMarketer has issued its hit predictions for 2009. Here are some of its forecasts for the new year:
- Despite the economic downturn, video ad spending will rise by 45 percent to reach $850 million.
- Search marketing spending will increase by 14.9 percent to reach $12.3 billion.
- Total U.S. Internet ad spending will increase by 8.9 percent to $25.7 billion. This will be the lowest year-over-year increase for online advertising to date, but will still constitute a higher growth rate than most other media.
- Online retail sales (excluding travel) will grow by just 4 percent as a consequence of the economic downturn.
- E-commerce will be a growing revenue stream for social network sites. Both MySpace and Facebook will expand their self-serve advertising systems to allow members and businesses to buy and sell products and services.
- Smaller and niche social networks will face difficulties – with some failing or being bought by others in the face of declining ad revenues. Corporate and brand-focused social networks will fail to gain (or lose) traction and likely close altogether.
- Twitter will be acquired and its acquirer will use its infrastructure to offer targeted marketing and analytics to advertisers.
- Television will fragment further and this, combined with lower viewership and lower ad spending will increase the pressure on networks to test new business models, including offering more online content.
- Online ad-supported video will grow, especially as YouTube expands its offering of full-length television programs.
Source: eMarketer, “eMarketer’s Predictions for 2009,” eMarketer, December 16, 2008
