By Rich Cherecwich
NEW YORK(RushPRnews)12/01/08-Even as other forms of online advertising lose their attractiveness amid a poor economy, search marketing remains a hot commodity, especially for retailers. So much so that spending on search campaigns grew 33 percent year-over-year for the first half of the fourth quarter, according to a report from SearchIgnite.
Search spending by retailers typically rises around the holiday season, and according to SearchIgnite’s numbers, it leapt up 58 percent between October and November, compared to 40 percent last year. As budgets become tighter, marketers clearly want to go with what works, and it appears they believe search is the answer.
“My guess is retailers are throwing more mud up against the wall,” Robert Passikoff, CEO of Brand Keys, told MediaPost. “More advertising money has gone online. Retailers are not running to something, but rather away from traditional marketing in hopes of getting some sort of measure of return.”
In October, as display and other advertising channels began to feel the pinch of more miserly budgets, SearchIgnite reported that spending on search campaigns increased by 27 percent in the third quarter.
But while search is showing no signs of slowing, it appears to be one of the few bright spots of interactive. Even though spending on online advertising will continue to grow, analysts predict overall growth will slow down tremendously over the next few years.