“Mirror mirror on the wall,” where will be biggest ad spending be of them all?
According to some new data from Forrester Research, online advertising spending will overtake tv by 2016 in the US (which we can assume would be similar in Canada). They further predict that online marketing is expected to reach $103 billion in 2019 due in part to a 13 percent average annual growth, compared with $86 billion for TV. They also suggest that digital ads by 2019 will account for 36 percent of all ad spending, above 30 percent for TV.
While TV continues to be the biggest advertising platform today, there is a huge shift to the digital world that has already taken place, just ask Bell Media or Rogers/ Shaw Media, who are all investing millions into new online video streaming services. Audiences want more on-demand options, and they want to be able to watch videos when they want, and where they want, Netflix has already proven this model can be a success.
Be sure to also check out – Up, Up, And Away As Online Ad Revenues Surpasses TV In Canada [Report]
Forrester also found that adults in the US already spend 52 percent of their total media time on the Internet during a typical week (including personal and work), up from 45 percent in 2009. Comparatively, TV time is down to 32 percent this year from 34 percent five years ago.