TV Basics: Top Categories of Local Online Advertising
Real Estate dominates the share of locally spent online advertising. When related categories such as Builders & Developers, Credit & Mortgage Services and Retail Home Improvement are added, the real estate-related figure reaches 29 percent. An estimated 77 percent of home buyers used the Internet in their search by the end of 2005.*

Automotive and Credit & Mortgage Services are other dominant categories at the local level with double-digit growth. Auto dealers have reduced their newspaper expenditures in the past two years, pushing some of it into online media. Also driving the growth is the availability of streaming video commercials. The Auto Marketing category comes in second at 7.1%.


2006 Market Projections for Top 20 "Local Local" Online Ad Categories
All Projections in $ Millions As of Q3 Data
  Category Description
“Local Owned”
Online Ad $
Category
Share
Cumulative
Share
  Real Estate Services
$545.556
 
22.5%
 
22.5%
 
  Automotive Sales
$172.598
 
7.1%
 
29.7%
 
  Credit & Mortgage Services
$164.527
 
6.8%
 
36.5%
 
  DotCom Businesses
$92.318
 
3.8%
 
40.3%
 
  General Merchandise Stores
$88.384
 
3.7%
 
43.9%
 
  Hospitals
$81.115
 
3.4%
 
47.3%
 
  Computer-related Services
$69.561
 
2.9%
 
50.2%
 
  Eating and Drinking Places
$65.640
 
2.7%
 
52.9%
 
  Other Medical Professionals
$56.821
 
2.3%
 
55.2%
 
  Telecommunications
$43.735
 
1.8%
 
57.0%
 
  Miscellaneous Retail
$43.518
 
1.8%
 
58.8%
 
  Financial Services
$41.844
 
1.7%
 
60.5%
 
  Retail Home Improvement
$41.355
 
1.7%
 
62.3%
 
  Pharmacies
$40.213
 
1.7%
 
63.9%
 
  Medical Doctors
$39.801
 
1.6%
 
65.6%
 
  Government
$35.076
 
1.4%
 
67.0%
 
  Food Stores
$27.326
 
1.1%
 
68.1%
 
  Furniture Stores
$26.912
 
1.1%
 
69.2%
 
  Banks
$26.592
 
1.1%
 
70.3%
 
  Hotels/Motels
$26.458
 
1.1%
 
71.4%
 
  Business to Business
$263.156
 
10.9%
 
82.3%
 
  All Other Local Advertisers
$428.244
 
17.7%
 
100%
 
  Market Totals
$2,420.750
 
100%
     
Source: 2007 Borrell Associates Inc.
*National Association of Realtors, 2005 Profile of Home Buyers and Sellers

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