Expect a bull market for Internet advertising in 2007. Expect that bull to keep charging for the foreseeable future. In fact, says Susquehanna Financial Group (SFG), 2007 will mark a crucial turning point in the industry. Think Google. Think targeting, video, social networks, and online gaming. And don't stop thinking about them. But forget about the page view altogether. "Our analysis is very positive for Internet advertising in 2007 and beyond," says Where To Find Growth: Behaviorally targeted advertising: This includes geotargeted, personalized, user-history based search results. According to SFG's report, "behavioral advertising should set a new benchmark in monetization." With a forecasted 32 percent growth rate over the next five years, behavioral targeting spend is expected to increase from $1.2 billion to over $5 billion. Social network advertising: SFG projects advertising in social networks will increase from $280 million in July 2006 (64% pocketed by MySpace) to $2.3 billion by 2010. Video advertising: Videos are expected to bring in major green for those that sell video inventory, once advertisers get comfortable with the likelihood, or find a way to prevent, being skipped altogether. In 2006, video ads represented just 2.5 percent of the total US market. By 2010, that should increase to $2.9 billion, or 8 percent of total spending. Video game advertising: Get ready for an explosion. Though online in-game advertising only brought in $56 million in 2005, SFG's Consumer Software analysts, Jason Kraft and Chris Kwak, expect that market to grow 70 percent annually, reaching almost $1 billion by 2010. What's Driving Growth Toolbars: SFG says search toolbars embedded into web browsers have become a significant factor in users' online behavior. Queries via toolbar have risen sharply year over year by 70 percent, now generating 16 percent of all US queries. Local search: Thirty-five percent of all searches are local in nature, and 45 percent of these searchers have commercial buying intent. But you better grab them quick. Most users abandon a search or rephrase a query if results aren't found with in 1.6-2.0 pages. Advances in image and video search: As Google and other major engines perfect their image recognition and speech recognition technologies, and as video becomes more in demand, targeted advertising becomes more likely and more desirable. Social networking: About three-quarters of Internet users visited a community site last November. And if one were skeptical about the staying power of the MySpaces of the world due to a perceive youthful fickleness, comScore recently reported that over half of More to come. . . Tag: Add to Del.icio.us | Digg | Reddit | Furl Bookmark Murdok:
Internet Ad Future Is A Load Of Bull
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