Yahoo to Dominate Growing Graphic Ad Market in 2008 – itsReal

Analysts are predicting large growth in 2008 in the U.S. graphical ad market, and expect the biggest winner of the bunch to be Yahoo. JP Morgan forecasts an $8.6 billion industry in 2008, which is an increase of about 20% over 2007. The average CPM is also expected to increase by about 4%.

clipped from www.searchenginejournal.com Analysts are predicting large growth in 2008 in the U.S. graphical ad market, and expect the biggest winner of the bunch to be Yahoo. JP Morgan forecasts an $8.6 billion industry in 2008, which is an increase of about 20% over 2007. The average CPM is also expected to increase by about 4%. The catalyst in the graphical ad market this year is not just increased interest in such ads. Rather, with higher CPMs and a tight ad inventory in other media, advertisers will be forced to look more towards the online world to fulfill their marketing goals. The 2008 Presidential election is expected to eat up a lot of the local broadcast and cable ad inventory, which will push more advertisers in the direction of the web. Additionally, JP Morgan Analyst Imran Khan expects that newspapers will continue to see declines in circulation, and therefore, more advertising dollars bleeding over to the web.