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Outsell, Inc. Ad Spending Survey: Online Advertising Penetration to Exceed 90% by 2008

Outsell, Inc., an information industry research and analyst firm, has released results of a national advertising spending. The results, summarized in The Annual Ad Spending Study: Where and Why Advertisers are Moving Online are based on a survey Outsell fielded to 1,200 advertisers in November 2005 who control an estimated $2.4 billion in advertising.

The Outsell study analyzes differences across advertisers and cover the markets they target—B2B, B2C, and healthcare. Topics include:

  • Budget allocation, growth rates, and trade-offs across all types of advertising, including print, TV/radio, online, and events.
  • Advertisers' views about the effectiveness of Google versus Yahoo! and Microsoft.
  • Performance of keyword ads versus contextual and behavioral ads.
  • Why advertisers choose one channel over another.

One major finding of the study is that the online channel is now used by 80 percent of advertisers, higher than previously reported. Outsell, in fact, projects more than 90 percent adoption by 2008.

Another major finding is the shift away from traditional media due to the unprecedented power that online advertising has provided to smaller businesses.

Download the 29 page report at (registration is required).


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