'Internet to become third-largest advertising medium'

4th December 2007

The internet will replace magazines as the world's third-largest medium of advertising, according to industry experts.

Steve King, chief executive officer of ZenithOptimedia, told the 35th annual UBS media conference that his company predicts internet advertising spending will grow by 6.7 per cent during 2008, compared to 5.3 per cent this year.

The communications strategy firm said this figure would see a huge jump by 2010, with ad-spending increasing by 69 per cent between now and then.

It also predicted that this would mean the online sector would make up 11.5 per cent of the advertising industry, compared to 8.1 per cent today.

A spokesman for Zenith said that the company expected the industry to reach three different "milestones" by 2010.

"To overtake radio advertising in 2008;, to attain a double-digit share of global advertising in 2009; and to overtake magazine advertising in 2010, with 11.5 per cent of total ad spend," he explained.

Spending on internet advertising increased by 25 per cent during the third quarter of 2007, according to the Internet Advertising Bureau, with returns of $5.2 billion (£2.5 billion).