Thursday, March 30, 2006

Technology Online Ad Spend to Reach $2.8 Billion in 2007

eMarketer: US. Sees Some Resurgence In Online Marketing And Advertising By Computer Hardware and Software Companies

Computing products advertising, as a share of total online ad spending, dipped in recent years, from 20% of all online advertising in 2003 to only 15% in 2005. eMarketer projects that in 2006 it will again account for 15% of all online advertising, rising to 16% in 2007.

The technology industry is going through major changes in platforms and business models, while it competes with consumer electronics. We expect online ad spending to keep pace with overall online advertising growth, but not surpass it in the next few years.

As hardware and software companies partner with Internet publishers and content providers to enter new markets and reach consumers in new ways a new convergence of the two industries is being created.

For instance, software publishers are beginning to shift distribution and pricing in the consumer market. One-time sales or downloads of programs are giving way to software as a service, where a monthly or annual subscription fee guarantees constant upgrades and system maintenance from the publisher. Technology Marketing: Customer Driven Convergence

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