What has long been expected is now a reality. Bloomberg reported last week that digital advertising in the United States will surpass the amount of ads in newspapers in 2010. The shift is another reminder of web ads being viewed as more reliable for businesses than print ads.
While the news is negative for the newspaper business, it might be time to admit that web advertising is just plainly better for advertisers – it is more efficient and cost-effective due to measurement practices. The shift is also a positive for consumers, who now receive the messages necessary for their spending in the forum they spend most of their time – the Internet.
Geoff Ramsey, the CEO at eMarketer, a New York-based researcher, said that while the shift has long been expected, the news of web ads exceeding print ads is “the tipping point.” He also noted that the rough economic climate has accelerated digital advertising’s pace.
The article notes that online ad spending increased 13.9% to $25.8 billion while print newspaper ads dropped 8.2% to $22.8 billion.
So maybe those who hold out hope for a comeback by the newspaper industry should move forward and embrace the new reality of advertising.
In 2010, Newspapers increased online ad spending 7.8% to $3 billion, leaving their net spending at 6.6%. But the United States is expecting a 3% increase in total ad spending this year. And the news remains bleak for newspapers, where expenditure on print ads will decline further in 2011, by 6% to $21.4 billion. And continuing in the same shifting fashion we’ve seen and come to expect, total digital spending is expected to increase 10.5% to $28.5, the article noted. These statistics do not represent a new trend, and the numbers will head in the same direction for years to come.
