» Online Advertising

Now this isn’t the most exciting news of the day. Most people are pumped up for Google’s release of the Nexus One. Granted a new phone is always cool. I remember when I first touched my iPhone. It was an exciting moment.

However, nothing really gets the blood flowing like online advertising. I mean who doesn’t love the random ads on the top of your Gmail account when you’re at work. Like right now mine says something about ESPN.com. I don’t know why. I’m about as coordinated as an inebriated gazelle.

What’s my point? I’m sure I have one. The point is online advertising is sexier than a new phone. The reason for my excitement is because JPMorgan has come out with their forecasts for online advertising in 2010. And their forecast calls for mostly sunny and high percent chance it will rain money.

Online advertising is a large part of what we offer clients at BOALT. That includes display advertising, search advertising and mobile advertising. According to JPMorgan, 2009 saw a 5.2 percent decline in revenues bringing in only $7.5 billion. However, things are looking up for 2010. According to JPMorgan forecasts, 2010 should see a 10.5% bump to $8.3 billion. Which means great things for everyone.

The bump is being credited to a rising market and growing trust in the economy from both consumers and businesses. The most surprising forecast is in SMS advertising. JPMorgan expects it to grow from $2.3 billion in 2009 to $3.8 billion in 2010. That’s a large bump.

SMS advertising is often an opt-in service. Say you’re looking for sports scores and you sign up for a text back response service that will send the score to your phone. Once you receive the information there is usually a brief ad at the bottom with a phone number or link. Some people find it annoying, but turns out that people actually do click on those links.

JPMorgan is also forecasting a 13.2% growth in search advertising to $16.6 billion.

What does this mean for you? Well it means that it’s probably safe to go back in the water. So get your floaties.