The US Online Advertising Industry Growth and Forecast

August 2011 | 42 pages | ID: U660148ED77EN
Ken Research Private Ltd

Abstracts

In 2010, the advertising industry accounted for around one fourth of the total service sector revenues. During the economic slowdown, advertising industry on the whole registered a decline in revenues while the online advertising industry registered growth at a slow rate. Increasing broadband penetration, rising number of internet users as well as popularity of social networking websites is behind the growth of online advertising globally. The online advertising industry is of various forms, but the most popular are digital search advertising, followed by display and classified advertising.

The US is the largest and most developed market for advertising, and it has also been registering growth in online advertising despite the recession. Moreover, the US continues to be the largest market for e-commerce, thereby driving the growth of online advertising sector in the country as well. In the US, the retail advertisers account for the largest share in online advertising, followed by finance and telecom companies. The automobile sector which used to be one of the major contributors in online advertising, during recession witnessed a decline in ad spending contribution on account of a weak demand in the country.

In the US online ad market, there exist low entry barriers; this has led to the entry of many players in this industry. Geographically, the US continues to be the largest market for online advertising, followed by Europe. There continues to exist scope for online advertising players to enter the US market, as in the country internet accounts for around 20% of the overall media consumption but currently, advertisers have only invested around 7.5% of their budget in online advertising.

The report on “The US Online Advertising Industry” includes a detailed study of the global advertising as well as the US online advertising industry. We have also analyzed the industry and its various categories/ segments and trends prevailing in the market. The report also includes the industry, present performance and forecast of its various segments. Additionally, we have discussed cause and effect relationship of macroeconomic and industry factors on the industry providing the basis for the future outlook.

Scope of the Report

• The report gives a detailed analysis of The US Online Advertising Industry including insights on past market performance, its various segments and their performance, present analyses and future outlook of the industry.
• The report also discusses the various forms of payment models existing in the industry and it also assesses the growth drivers.
• The macroeconomic environment is discussed in detail, thereby providing marketers a view regarding the present and future market for their products & services in the country.
• Discusses the positioning of the industry players and their market share which helps to assess scope for new and existing players.
• This research report helps the domestic and international players looking for potential segment in the industry.

Contents

1. GLOBAL ADVERTISING INDUSTRY

1.1. An Overview
1.2. Online Advertising Industry: An Overview
1.3. Global online Advertising: Market Size
  1.3.1. Online Advertising by Category

2. THE US ADVERTISING MARKET

2.1. Market Size
2.2. The US Online Advertising Market
  2.2.1. Online Revenue Models
  2.2.2. Market Size
Quarterly Performance
  2.2.3. Online Advertising by category
The US Search Advertising Market
The US Display Advertising Market
Online Advertising Demand by industry

3. INDUSTRY COMPETITION

4. DRIVING FORCES

4.1. New Advertising trend through Social Networking Sites
4.2. E-Commerce Driving Online Ad Demand
4.3. Growing Internet User Base
4.4. Rising Broadband Penetration

5. MACRO ECONOMY ENVIRONMENT

5.1. Population (Historical and Present Performance)
5.2. GDP (Historical and Present Performance)
5.3. Personal Disposable Income (Historical and Present Performance)
5.4. Inflation, 2007-2015

6. FUTURE OUTLOOK

7. COMPANY PROFILES

7.1. Google Inc.
  7.1.1. Business Overview and Financials
  7.1.2. Business Strategies
7.2. Yahoo Inc.
  7.2.1. Business Overview and Financials
  7.2.2. Business Strategies
7.3. AOL LLC
  7.3.1. Business Overview
  7.3.2. Business Strategies

8. RESEARCH METHODOLOGY

Data Collection Methods
Approach
Reasons for the Selection of Independent Variables
Disclaimer

List Of Figures

LIST OF FIGURES

Figure 1: Major Service Sector Share by Revenues in 2010
Figure 2: Global Advertising Revenues (2006-2015F)
Figure 3: Online Search Engine Value Chain
Figure 4: Global Online Advertisement Spending (2006-2015F)
Figure 5: The US Advertising Revenues (2006-2010)
Figure 6: The US Online Advertising Revenue Models 2010
Figure 7: The US Online Advertising Revenues (2006-2015F)
Figure 8: The US Online Advertising Revenues (Quarterly Comparison (4Q09 & 4Q10)
Figure 9: The US Online Advertising Spending by Category in 2010
Figure 10: The US Online Search Advertising Market (2006-2010)
Figure 11: The US Online Display Advertising Market (2006-2010)
Figure 12: Online Ad Revenues by industry in 2010
Figure 13: The US Online Ad Companies Share by Display Ad Revenues in 2010
Figure 14: Google Search Advertising Market Share (2009& 2010)
Figure 15: The US online Social network Ad spending (2007-2010)
Figure 16: The US E-commerce Spending (2006-2010)
Figure 17: Total Population in the US (2000-2010)
Figure 18: The US GDP at Current Prices (2000-2010)
Figure 19: Personal Disposable Income in the US (2000-2010)
Figure 20: The US inflation, Average Consumer Prices in % (2007-2015F)
Figure 21: The US Online Ad Revenues (2010-2015F)
Figure 22: The US online Ad Revenues by Major categories (2011-2015)
Figure 23: Google Total Revenue (2006-2010)
Figure 24: Yahoo Total Revenues (2006-2010)

List Of Tables

LIST OF TABLES

Table 1: Global Online Advertising by Category in % (2006-2010)
Table 2: The US Retail Sales Total and E-commerce (Quarterly 2010& 2011)
Table 3: The US Internet Users (2000-2010)
Table 4: The US Broadband Subscribers