Online Ad Spending Will Pass Newspapers by 2013

Magna Global predicts that worldwide, online ad spending will overtake newspapers in a little over two years. In 2011 the U.S. ad market is looking fairly weak—though positive, at least—while online is expected to rise 11.6 percent in the United States.

Worldwide ad expenditures will rise 5.4 percent in 2011, mostly thanks to the continuing growth in emerging markets and stabilization in developed markets.

TV advertising will command a 40 percent share of all ad dollars and gain 7.5 percent annually through 2016. But online advertising will overtake newspapers as the second largest ad spending category by 2013 by taking in $117 billion at that point.

Online video will capture $4.7 billion in global ad revenues, and should rise by 19.6 percent each year through 2016. By that point, online video will account for $11.4 billion in global ad spend.

Mobile advertising is smaller, at $2.7 billion, and will grow at a similar pace to online video. Within five years, web publishers should see about $6.6 billion from mobile advertising.

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