Paid Search to Hit $12 Billion by End of 2010

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In 2010, eMarketer estimates US advertisers will spend $12.37 billion on paid search, compared with $8.88 billion on online display ads-which includes banner, rich media and video formats. Search will still get the most dollars in 2014, at $18.84 billion, but display will have closed the gap somewhat and reach $15.92 billion in spending that year.

The increase in display advertising will be driven partly by the dramatic rise predicted in online video advertising, which eMarketer estimates will grow 39.5% to $1.42 billion in 2010, and grow at least 34% every year through 2014. Banner ads will experience more moderate gains of between 7% and 16.2% annually, while rich media spending will stagnate.

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Steve Hall

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