Online ad spending will reach $9.1 billion this year, according to a new forecast by research firm eMarketer.
The report, titled "Ad Spending in the U.S., Online and Offline," predicts that online ad spending will continue its double-digit growth, reaching $11 billion by 2005.
While search currently leads all ad formats among marketers online, accounting for nearly 40% of online ad spending in 2003, eMarketer predicts that rich media will see a higher growth rate this year (64%) as more companies look to invest in online branding opportunities.
The money to fund increased online ad spending, according to industry leaders quoted in the report, will come from budgets for newspaper and network television advertising, as well as overall increases in ad budgets.
eMarketer projects total media in the U.S. will increase by 7.7% in 2004 over 2003.