THe Internet Outsider demonstrates the formula most of us have already figured out, the web is causing a shift in advertising dollars (although not the most important attribute, but a key indicator to what’s changing)
“US advertising revenue at 4 big online media companies–Google (GOOG), Yahoo (YHOO), AOL (TWX), and MSN (MSFT)–grew by $1.3 billion in Q2, or 42%.
US advertising revenue at 15 big television, newspaper, magazine, radio, and outdoor companies (Time Warner, Viacom, CBS, etc.) shrank by $280 million in Q2, or 3%.”
42% online vs -3% traditional
Read the bottom line on this spreadsheet analysis. Google is growing hand over fist at 96% while NYT has a decrease by 6%.
Quite interesting that mainstream media would suggest that other factors were to blame such as the “real estate market” or “cyclical weakness.” Take a step back, look at how your kids are communicating, and see the forest.
When is the tipping point of advertising dollars being heavier online than on mainstream media? Collective research indicates 2011.