Internet Video: Advertising Experiments and Exploding Content

As proof that the Internet video revolution is truly underway, Google paid $1.65 billion for YouTube, a company not 20 months old. The aftershock of that mash-up will, all by itself, contribute to Internet video's growth. In addition, eMarketer projects video ad spending will soar 82.2% this year and 89.0% in 2007.

The Internet Video report analyzes the fastest growing—and perhaps most important and far reaching—trend online today.

As elements of television and the Internet converge for both advertising and content, testing new methods of video delivery and marketing are more the rule than full-play campaigns. In other words, spending is low.

But here are some numbers to take to the bank.

Though Internet video ad spending represent only 0.6% of TV ad budgets this year, large spending gains for Internet video advertising are down the road—and not too far.

By 2010, one in ten dollars devoted to Internet advertising will go for video placements.

emarketers: Feb 26, 07