Internet speeds up global ad growth

In U.K., 'Net expected to take 12.9% of '06 ad spending

Global advertising growth is expected to accelerate in the next three years and exceed the growth rate of the past decade.

That’s according to leading advertising conglomZenithOptimedia, which predicts Internet advertising will break the 10% barrier for the first time this year — in the U.K. and Sweden.

In Blighty, the ‘Net is expected to take 12.9% of total ad expenditure in 2006, while in Sweden the figure is likely to be 10.5%.

This is the first time anywhere in the world that the Internet will have been responsible for more than 10% of the overall ad expenditure.

By 2008 ZenithOptimedia expects there will be eight markets where Internet ad share exceeds 10% — Australia, Israel, Japan, Norway, South Korea and Taiwan, as well as the U.K. and Sweden.

Although globally, ad growth rates are expected to increase between now and 2008, growth is expected to be slightly down in both North America and Europe from levels reached during the past 10 years.

Between 2005 and 2008, ZenithOptimedia predicts ad expenditure will grow at an average rate of 4.6% annually in North America and 4.3% in Europe.

This compares to 5.4% and 4.7%, respectively, between 1995 and 2005.

The above-trend growth will be driven by the Asia-Pacific region, especially China, India, Indonesia and Japan.

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