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Online spending budgets rise 18% in Italy

A recent study by the e-Media Institue of Milano has identified a strong 18% growth in online marketing expenditure in 2005 when compared to the previous year.

The study called NON SOLO BANNER was carried out between July and September of this year and identifies a number of key points in the framework of a global evaluation of the Italian media market.

Throughout 2005 there has been a constant positive trend in online marketing expenditure, growing at a double-digit rate, confirming the trend identified during 2004.

The expansion derives from a particular vitality in broadband DSL and online publishing services ending the 2001-2003 recession, and will remain the most important segments of the market in the immediate future.

The study estimates the overall online marketing investments between € 253 and € 276 million during 2004. The estimate is an aggregate figure representing all forms of online advertisment (banner ads, organic search engine positioning, paid inclusion, pay per click, submission to local or global directories, email marketing, etc.)

The report findings identify 2004 as the turning point in online marketing activities, found to be on the rise by 16% with respect t0 the previous year. Growth forecast for 2005 is expected to meet and exceed that of 2004, especially for specific online marketing initiatives.

The report clearly shows how online expenditure is definitely on the rise and will continue to grow at such a sustained rate. When compared to traditional media, online marketing investments now approach 2/3 of the total expenditure on radio, 3 times that in cinemas, and approaches 5% of budget allocated to television.

e-Media Institute provides a wide range of customized economic and socio-economic research-related services on media and telecommunications markets.

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Sante J. Achille

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