Ad Spending: Traditional Media vs. Online Media
Posted: February 23rd, 2010.
The advertising market post recession is yet to bounce back and the CAGR in traditional advertising is expected to fall by 1.2% between 2009 and 2014. However, the growth in online media were ROI is better measured and targeting is more accurate, the growth is expected to prevail and a CAGR of 19.2% is expected in the same five year period.
Here is the value of the two segments as measured by BIA/Kesley
Traditional Media
2009 : $115.0 billion
2014 : $108.2 billion
Online/Interactive Media
2009 : $15.2 billion
2014 : $36.7 billion
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Comments
Comment from Anand Srinivasan
Time March 22, 2010 at 5:08 am
Hi Ellen,
I am not aware of the NY Time article. If it was about newspaper revenues alone, then it is probable that online revenues have already surpassed them. But traditional media also includes media like TV and Radio which is significantly a big pie that online media cannot reach at this stage.
Comment from ellen foley
Time March 21, 2010 at 10:14 pm
Didn’t I read a short in the New York Times last week that said Internet advertising revenues have now for the first time equaled newspaper revenues or other traditional media revenues? Your numbers would indicate that this is some time off in the future.