American Express

Posts Tagged ‘Advertising’

Online advertising works, and it is becoming big business. Searching is expected to exceed outdoor advertising in the United States within a few months, and in the United Kingdom it already has. Much of the advertising dollars spent online seem to be on travel, health,reference, and lifestyle/news/entertainment Web sites. Advertisers are gettingmuch smarter about their initiatives and are targeting people based on behavior to increase response rates. We said previously that not everyone is the same, and advertisers are beginning to address this.

In the United States, companies are expected to devote between 4 and 5 percent of their total advertising budget to online initiatives in the coming year, according to recent eMarketer (http://www.emarketer.com/) data for advertising spending. Spending on online advertising as a percentage of total advertising is growing.

Where are businesses spending their advertising dollars and what is working? The following charts (Figures 1.7 and 1.8) presented by eMarketer help shed some light on the subject. Companies are spending more money on almost all types of online advertising. E-mail marketing and search engine placement are particularly big drivers for small to medium-sized businesses.Companies are aware of the importance of the Internet to their business,and trends indicate that they are investing more in advertising and in technology to grow online. It’s all about the return on investment.