A flurry of new information released as part of Forrester research predicts a huge change of emphasis from traditional media to online advertising over the next few years. In particular, Search Engine Optimization (SEO) and Pay-Per-Click (PPC) are due to double over the next five years according to the Forrester report.
In the US, digital marketing will become $55 billion industry by 2014, representing 21 per cent of the overall marketing spend. In the UK, online advertising spend already controls over a fifth of the overall advertising market, but the trend predicted by Forrester is that online will continue to flourish while other aspects perish.
The most interesting takeaway from the research is that overall advertising budgets will decline. Yep. With dollars moving out of traditional media toward less expensive and more efficient interactive tools, marketers will actually need less money to accomplish their current advertising goals.”
The message is getting through that online marketing can achieve the same as traditional media for less. A paradigm shift is occurring, with 60 per cent of advertising gurus ploughing money into digital media rather than the normal advertising avenues. Up to 59 per cent of the increase in advertising spend will be allocated to SEO and PPC.
PPC is currently much more prominent than SEO with most companies preferring to invest in paid search. However, as organic search starts gaining more widespread traction, more brands will turn to search engine optimization to drive traffic naturally to their websites. By 2014 the US will spend over $5 billion on SEO according to the Forrester research.