Internet marketing spending grows

Internet marketing spending has doubled since 2005, new research has shown.

According to E-Consultancy’s Best Practice Guide to Managing Digital Channels, 23 per cent of advertising budgets are allocated to online spending.

This reflects a substantial increase since 2005 when only 11 per cent of marketing budgets were spent on digital channels such as search engine and affiliate marketing.

Author of the report, Dr Dave Chaffey, notes that this figure could rise even further over the next few years as businesses in their online infancy increase spending.

He said: “For later adopters, their spend could and probably should double over the next three years, particularly with the economic climate encouraging investments into more accountable, direct response digital media like paid search.”

However, it is not only commercial spending that has increased.

Government online advertising spending alone has leapt nearly 60 per cent during the 12 months to the end of March, according to figures from the Central Office of Information.