Top media firms intend to increase ad spend online over coming year

Top media firms intend to increase ad spend online over coming year

03/02/2009 13:03:00

A survey of top digital media companies including BT, ITV, Microsoft and Tesco has revealed more than half expect to spend more money on online advertising this year.

The survey by StrategyEye of 212 digital media companies revealed 87% of respondents felt they received better returns using online advertising and plan to increase their investments in line with this.

Some 67% said they expected to cut back on spend with traditional outlets, while only 13% planned to cut back on digital.

Emerging media channels, such as mobile and social media, were the big winners, with 61% planning to invest more in social media and 57% in mobile over the next 12 months.

However, 57% believed it could take up to four years before mobile TV makes a profit for providers and a further 37% believed profitability may take as long as ten years.

Jeremy Phillips, co-founder and COO of StrategyEye, said, "It would be easy for people to pull back in the economic climate, but there's a large number looking to expand into new media. That's without taking into account the others that are continuing their online investment."

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