Marketing Pilgrim

eWeek has soundbites from Tim Armstrong, Google’s advertising sales vice president, on the growth of online advertising.

“There is robust interest in online advertising and that interest is now turning into real dollars,” Armstrong said, noting that market analysts are predicting a banner 2005 year with forecasts ranging from $10 billion to $15 billion.

“The experimenting and testing phase begun in the 1990s has ended. Corporate ad buyers are investing now,” he said.

Indeed many are seeing a growth in the percentage of ad-spending heading to the Internet.

While estimates vary, analysts believe around 5 percent of U.S. advertising dollars will be spent online this year, up from around 2 percent just a couple of year ago. In short order, 10 percent or more could move online, analysts say.

“Some are putting 10 percent or even more than 10 percent of their 2006 budgets into online,” Armstrong said. By no means all companies are at this stage, he said but the tide has turned.

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