The growth of companies using the Internet to market their wares is known by everybody in the business. That growth should continue on for years into the future. What's interesting in all of this is that while many companies that use the Internet to market, they even use traditional media to market more.
The paradox is that while almost everybody recognizes that online marketing is the most efficient out there, it is growing at a much slower rate than that efficiency would suggest.
For example, Universal McCann ad forecaster Bob Coen says concerning the auto industry, "Despite what you're hearing about the Internet, they're spending most of their money in television." Only 4 percent of the auto industry budgets go online in comparison to 83 percent to television.
The reason for the paradox is in the efficiencies themselves. Because the Internet is so efficient as a marketing platform, when money is shifted to online marketing, it goes a much longer way than does marketing through other platforms.
I think that the bottom line in this is that this will be good for those pursuing an advertising model for their online businesses. While it will take a little longer to get there, the consistency that comes with the efficiencies should be a much healthier growth rate than huge spikes in growth that couldn't sustain themselves.
In talking about online marketing here, I'm not including search marketing in the mix.
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