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IDC: In Five Years, Internet will be #2 Ad Market |
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Market research firm IDC predicted at the end of May that the Internet would become the United States' second-biggest ad deployment medium within five years.
According to the press release, Internet ad sales represented $25.5 billion in 2007. This figure is expected to increase eight times faster than the ad sales sector as a whole. By 2012, IDC says yearly Internet ad sales will be up to $51.1 billion.
When the dust settles, says IDC, only direct marketing will surpass Internet delivery for ad sales.
A dominant factor in this growth comes from the increasing use of videos in Internet publishing. As broadband access comes to more users, and as more users become attracted to the inherently on-demand nature of online video, more businesses are shifting their advertising dollars away from television and newspapers.
The five-year forecast predicts that search-based advertising will continue to be the highest-earning market for Internet ads.
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