IDC: Internet advertising growing rapidly despite economic woes

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Framingham, Mass.—Internet advertising will grow about 3.5 times as fast as advertising overall over the next five years, according to IDC.

In its report, “U.S. Internet Advertising 2008-2012 Forecast and Analysis: Defying Economic Crisis,” IDC said the Internet will go from the No. 5 advertising medium all the way to No. 2 in just five years, making it bigger than newspapers, cable TV and broadcast TV, and second only to direct marketing.

IDC said video advertising will attract the most new marketing dollars. Its revenue will grow sevenfold from $500 million in 2007 to $3.8 billion in 2012, a compound annual growth rate of 49.4%.

Search advertising will remain the online advertising format that garners the most revenue over the forecast period.

—Carol Krol

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