Digital Marketing Spend On An Upward Swing
A recent report by forrester concludes that the Interactive marketing spend is going to touch more than $55 billion doubling within just a span of 5 years.The report also reflects the different statistics related to important growth parameters for Interactive Ad spending.
Interactive Marketing is not completely synonymous with online marketing but includes all media channels representing two way conversational media like E-mail marketing,banner and other forms of online advertising etc.
The current spending for FY2009 is at $25 billion which would be registering an average growth of 17% for the next 5 years touching $55 Billion.
Mobile marketing and social media currently constitutes very miniscule portion of the total interactive Ad spend but are on a path to outperform other segments by registering a CAGR growth of 27 and 34 percent respectively.
Interactive marketing spend-Segment wise distribution(2014)
Search Engine Marketing and Display Advertising segment would continue to attract deep pocket spending by expanding to $32 billion and $17 billion by 2014. Although search marketing segment contribution would be slightly down ,the E-mail Marketing segment would be registering lowest growth.
The report also signifies the Importance of Social media in future as this segment would be registering highest growth rate among interactive spends touching $ 3.1 billion.The report may also have also mixed CPE(Cost Per Engagement) Ad revenues into Display Advertising thus diminishing the impact of Social Media in future.
In India Interactive Marketing spending is said to be Rs. 850crs for CY 2009 recording a growth of 25% YoY compared to 2% decline in print advertising.
The report although is only applicable to U.S markets but the situation in emerging markets is no different as they are also witnessing Ad spenders flocking from Traditional media channels to Interactive media channels.
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