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BizReport : Advertising : November 05, 2008
Rubicon Project: Global dollars will push online advertising
Advertisers may be cutting back on traditional media advertising, but online avenues are still ripe for the picking. That, according to a recent report from The Rubicon Project, which indicates that more global advertising dollars will infuse the online advertising markets, helping to increase the total dollar amount spent online.
According to the report, millions of dollars are being taken from traditional mediums such as newspapers and television, and being placed into online budgets. Why? Because online advertising has the potential of reaching around the globe while a single television ad may only reach a specific demographic area.
Researchers found that out-of-country visitors make up about 40% of the traffic to US-based websites and that more than 50% of the traffic to international websites comes from outside the US. Grwoth in the UK and Asia is expected to lead the way.
"Advertisers are still spending money where eyeballs aren't," said Frank Addante, Rubicon Project founder and CEO. "This is why we think online will continue to grow in terms of total dollars, though the rate will decrease."
Advertising networks are expected to take the bulk of the increased spend because using the reach of advertising networks is vastly easier for marketers than doing specific DMA research across the globe.
Tags: advertising growth, online advertising, Rubicon Project
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