Paid search growing 'twice as fast'

Paid search growing 'twice as fast'

Online marketers using paid search are witnessing double the rate of growth of general advertising campaigns, according to new research.

The study, conducted by research company Frost and Sullivan, found that the estimated 65.5 per cent growth of paid search advertising on 2006 levels means that the sector is growing twice as fast as the regular market.

It was estimated that keyword search could witness five per cent growth by the end of this year and that online directories were expected to drop by the same amount, national newspaper the Australian reports.

Frost and Sullivan's digital media research manager Darryl Nelson said that the shift in spending towards online search had left directories as primarily a niche area.

"Online directories are up against search engine advertising in share of spending - and search engine advertising has captured strong mind share in the marketplace," he said.

Last week IBM released a report which claimed that advertising would continue to change more rapidly than ever before and that over the next five years personalised advertising would be favoured by many.

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