Alternative Advertising to Hit $50m in 06

From the Center for Media Research:

“”Spending on blog, podcast and RSS advertising is projected to climb another 144.9% in 2006 to $49.8 million.

Other key findings included in the Executive Summary:

  • User-generated media remains primarily national in scope with 98.1%, or $20.0 million, of all advertising spending coming from the broader market in 2005
  • Advertising networks and click-throughs are the largest ad insertion methods, generating $8.0 million and $7.8 million, respectively
  • Blog advertising accounted for 81.4%, or $16.6 million, of total spending on user-generated online media in 2005, but blog ads will comprise only 39.7%, or $300.4 million, of overall spending in 2010
  • Podcast advertising totaled only $3.1 million in 2005, but is projected to reach $327.0 million in 2010, when it will account for 43.2% of all user-generated media advertising
  • Spending on RSS (Really Simple Syndication) advertising totaled $650,000 in 2005 and will grow to $129.6 million in 2010
  • Total spending on user-generated online media is forecast to grow at a compound annual rate of 106.1% from 2005 to 2010, reaching $757.0 million in 2010
  • Technology was the largest single category at $4.0 million in 2005, due primarily to the technology-savvy early adopters of user-generated media
  • Auto was the second largest marketing category, generating $3.9 million in 2005, as car manufacturers utilized user-generated media to market their higher-end models to the “influential” demographic
  • The media industry spent $3.2 million to advertise in user-generated media in 2005, as the industry tried to capitalize on its advanced knowledge of the consumer shift away from traditional media”

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About Daniel Davenport

Daniel is a digital media executive with internet and broadcast experience. Daniel is currently the executive strategy director at THINK Interactive.

2 Responses to “Alternative Advertising to Hit $50m in 06”

  1. A number of interesting podcast ad networks have launched recently to take advantage of this quickly growing space. It’ll be interesting to see how quickly the advertisers catch on to the value in this audience and how quickly they begin spending significant money on this medium.

  2. daniel davenport Reply April 13, 2006 at 7:40 pm

    Hey Thomas

    Thanks for the comment. Which networks look the best to you?

    Daniel

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