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Online Ads will Surpass Outdoor Ads in 2007

New York Post reports that spending on Internet ads will overtake billboards and other outdoor advertising next year, and close the gap on radio in 2008, a new report said.

The Internet will account for 6.5 percent of all advertising by the year after next, up from an earlier forecast of 6 percent in December, according to global media firm Zenith Optimedia. Online ad spending accounted for 4.5 percent of the global market last year.

"We have revised our Internet forecasts upwards once again, as it has continued to exceed expectations," Zenith said. Radio's market share will fall to 7.9 percent in 2008, from 8.5 percent last year. "The Internet is now firmly established as a mainstream advertising medium in developed markets, and in many developing markets too," Zenith said.

The firm predicts overall ad growth will increase to 6 percent in 2006, up from 4.5 percent last year, in part because of the promotional frenzy surrounding World Cup soccer.

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