Online ad spend set to increase

02/06/2008

More than three quarters (78 per cent) of marketers are set to increase social media spend during the next three years as companies focus on digital marketing.

Eloqua's "State of the Marketer" study also shows that that 74 per cent intend to increase direct email spend while 65 per cent will put more money into mobile SMS marketing.

The study looked at marketing professionals at US companies with annual revenues of $10 million to $500 million.

The increased online spend could signify a decreased reliance on traditional print advertising, a theory backed up by the study which shows 55 per cent admit they are likely to decrease print ad spending in the next three years.

Online marketing commentators eMarketer.com project total US online ad spend to reach $51,000 million by 2012, almost doubling 2008 spend.

Of that figure, 5.1 per cent is expected to be spent on social network advertising while eMarketer expects email ad spend to jump from $492 million in 2008 to $ 677 million in 2011 and SMS spend to jump from $1.5 billion to $3.8 billion.

These trends should also be reflected in the UK market.