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Online video ads to grow 40% for next 4 years, but won't dent TV

August 12, 2009 — 9:43am ET | By Pete Wylie

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eMarketer, while it projects online video advertising will average annual growth of 40 percent for the next four years, said those gains will still find the total online video ad spend dwarfed by TV and other forms of online advertising in 2013. In its latest report "Digital Advertising: Where's the Money," the analyst firm said that advertisers will only be spending $5.50 on online video advertising for every $100 they spend on TV ads in 2013. The report expected online video advertising to only account for 11 percent of the total online advertising market in 2013 as well. The IAB's latest Internet Advertising report pegged online video advertising spending at $734 million for 2008.

But these figures aren't all bad for online video advertisers and ad-supported content businesses. The TV advertising market is huge, so even accounting for 5.5 percent of the total revenue for that medium makes online video advertising a multi-billion dollar industry in four years time. Just don't expect online video viewing or advertising to unseat the boob tube that quickly.

For more:
- see the eMarketer report here