Look Out, Google: Online Brand Ad Spending May Pass Search in 2012

Direct-response advertising has dominated the online ad business ever since Google perfected search ads following its IPO in 2004. That has kept many brand advertisers from diverting much of their budgets from traditional media, in particular television, to the Web. This year, however, that may be about to change.

A new report from the advertising-focused Web site Digiday based on a survey of 450 ad executives finds that marketers will spend some 60% of their online budgets on brand ads this year, potentially more than direct-response ads for the first time in memory. The findings come as some analysts, such as J.P. Morgan’s Doug Anmuth, also see a shift in growth prospects from search and other direct-response ads to branding or image ads. (Some even see a shift from TV to mobile and other channels.)

Read more @ http://www.forbes.com

Posted on Jan 23, 2012 - 11:11 PM


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