VSS 21st Communications Industry Forecast: Internet Ad Spending Will Overtake Newspaper 2011

Veronis Suhler Stevenson (VSS) projects that ad spending on Internet will reach USD 61.98 billion, and will surpass newspapers to become the (US) nation's leading ad medium in 2011, in its 21st Communications Industry Forecast.

According to the VSS Forecast, which was prepared in part using proprietary data from PQ Media's Alternate Media Outlook:

- Ad spending on pure-play Internet sites reached USD 15.1 billion for 2006, and is projected to hit USD 34.78 billion in 2011, for a CAGR of 18.2%.

- Growth of 25.79% is projected for ad spending on traditional media-based Internet sites, which hit USD 8.585 billion in 2006, and is projected to reach USD 27.2 billion in 2011.

- National Internet advertising, which includes search, display, sponsorships, etc., is projected to remain the dominant dollar-generator with USD 38.897 billion forecast for 2011, representing an 18.2% CAGR from 2006-2011.

- Blog, podcast and RSS advertising is projected to reach USD 1.138 billion by 2011, registering the fastest growth rate at a 70.9% CAGR forecast from 2006-2011.





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