Internet advertising investment in the US grew 13.9 percent

With a growth of 13.9%, advertising investment on the Internet reached a new ‘record’ in the past year 2010 in the US.

This new increase put advertising investment at 25.8 billion dollars, exceeding for the first time the investment in other media such as newspapers, according to the study ‘State of the Media 2011’ developed by the Pew Institute within the Project for the Excellence of Journalism.

According to this study, the challenge for the media is to increase their participation in this investment, since 48 percent of it is related to searches and, therefore, is destined to search engines or aggregators that have no relationship with the media where the news information is originally generated.

Regarding the graphic ads or display advertising, it is through digital media that they obtain a large part of their advertising revenues, representing 23 percent of all advertising investment on the Internet during the past year 2010, almost half of which which are carried by search engines, such as Google.

In this sense, the work highlights that, although the media, both traditional and those born with the Internet, still produce most of the information content consumed by the American audience, these same media are increasingly dependent on of non-journalistic companies, such as news aggregators or social networks, such as Facebook, to sell their advertising and reach a wider audience.

In addition, increasingly, with the arrival of tablets or smartphones, the consumption of news becomes “more mobile”, with which the media are also being forced to follow the “rules” that mark the developers , such as Google or Apple, and give them part of the benefits they achieve by generating content and controlling part of the data of their readers, such as applications to access a media that are downloaded from the Apple store, iTunes.

However, the report highlights some steps taken by the US news industry to increase its share of advertising pie on the Internet, through the development of new types of graphic ads that in 2010 attracted more investment.

On the other hand, the advertising investment in mobile devices grew by 79 percent to 743 million dollars, although it still represents only 3 percent of the total advertising investment on the Internet.

In general, advertising investment increased in 2010 in all media except newspapers, where it fell by 6.4 percent. The largest increase in investment was in local television (17%), followed by Internet (13.9%), cable television (8.4%), television via Internet (6.6%). , radio (6%) and magazines (1.4%).

The work also highlights that fewer organizations than expected in the beginning tested in 2010 the payment models on the Internet, which is why they are still “rare” cases of readers who pay for news applications to download on your computer, phone or tablet. In fact, only 10 percent of those who use some type of application to read local news pay for it, according to a survey included in the study.

The Internet Audience continues to grow

Meanwhile, the media audience on the Internet continues to grow. Thus, 41 percent of Americans cite the Internet as the place where they obtain most of the information on national and foreign affairs, 17 percent more than in 2009. For the first time, the audience of the web has surpassed that of paper newspapers in the USA and it is only won by local television channels, which continue to be favorites by Americans to get information.

In addition, mobiles have an important participation in this audience increase. Thus, 47 percent of Americans say they are informed about what happens in their locality through their mobile phone or devices such as iPads. In January 2011, 7 percent of Americans had tablets, twice as many as four months before, and 6 percent had e-readers.

In general, the Internet was the only medium whose audience grew in 2010, 17.1 percent, while in the audience of local television fell by 1.5 percent; Internet television, 3.4 percent; newspapers, 5 percent; the radio, 6 percent; the magazines, eight percent; and cable television, 13.7 percent