U.S Small Businesses are Planning to Increase Spending on Online Advertising in 2011

In a market-by-market forecast for ad spending in 2011, Borrell Associates conducted a survey to know the level of ad spending by small businesses in 2011. Overall ad spending is found to have moderate increase, with less than 5% increase above 2010 levels. This brings the total U.S ad spending to $238.6 billion. Further, strong increase is seen in online advertising and mobile.

Ad servingTotal spending on online advertising is supposed to increase from $45.6 billion in 2010, to $51.9 billion, in 2011, amounting to 14% increase. In case of local online ad spending an increase of 18% is expected, from $13.7 billion, in 2010 to $16.1 billion, in 2012. Local sector, targeted things, and social media are found to be fastest growing segments in online advertising.

The growth is found to be uneven all across U.S markets, due to the uneven usage of Internet and the adoption rates by local smaller businesses.

The markets having top growth rates with 22% in online advertising are Monroe, LA – El Dorado, AR, Albany – Schenectady, NY & Des Moines – Ames, IA.

The markets having slow growth with 14% are, Lafayette, IN & Fairbanks, AK & Ft. Smith – Fayetteville – Springdale – Rogers, AR.