Retail Leads Online Advertising Budgets

The retail sector will lead the way in the U.S. in spending advertising money online in 2013, according to a new report from eMarketer.

Total digital ad spending will rise 14 percent this year after increasing 15 percent in 2012 and nearly 22 percent in 2011.

Out of that total, retail will spend the most at 22 percent of total digital ad expenditures.

“Nearly two-thirds of this retail spending will focus on direct response formats, such as search, mobile messaging, classifieds and directories, or lead generation,” eMarketer says.

Three other categories will exceed the average growth rate. They are travel, financial and consumer packaged goods.

The travel section will spend three fourths of its budgets on digital direct response formats.

Other digital direct response formats include rich media, email, video, banner ads and sponsorships.

Financials services will contribute 12.4 percent of total digital ad spending this year. It will spend 62 percent of its total on digital direct response.

Advertisers in the consumer packaged goods sector are focused on branding with 62 percent of digital expenses dedicated to banner ads, rich media, sponsorships and video, eMarketer estimates.