Sempo just released their survey for 2006 on Search Engine Marketing. In the survey, Sempo shows that Search Engine Marketing as a whole is up 62% percent from last year with spending in North America around 9.4 million. In 2005, estimation on spending was around 5.75 billion, which was an increase on 2004 by 44% and an estimated doubling of 2006 by the year 2011.
"These spending figures show that 2006 was a watershed year for the SEM industry. We have moved from the first wave of adoption of search-based marketing to the myriad of small and medium sized businesses, many of them startups, using SEM as a fundamental part of their business. In fact, many of these SMB companies have been founded on an e-business model and that is a huge implication for our general economy, going forward," says Kevin Lee, member of the Board of Directors of SEMPO and chair of its Research Committee.
The yearly increase of spending is happening because online marketing is becoming extremely successful for many companies. As more companies begin to put there faith in SEO/SEM they are realizing that these online marketers are able to give them more bang for their buck then they thought was possible. Online advertisers are able to target searchers to a T with the precision that they have always wanted and the tracking capabilities to show what works and what does not work.
Due to the recent surveys and the success companies are having with online marketing, it is safe to say that Search Engine Marketing is here to stay. Having your company online is far from a luxury now, it is a must. With 16% of the world's population, or 1.1 billion people able to find your business via the web, it is extremely important that all businesses are able to be found on the internet. It is just a lot easier to 'be found' if you are on the top of a search engine.