Effects on industries
Internet marketing has had a large impact on several industries including music, banking, and flea
markets - not to mention the advertising industry itself.
As Advertisers increase and shift more of their budgets online, it is now overtaking radio in terms of
In the music industry, many consumers have begun buying and downloading music files (e.g. MP3s) over the
Internet instead of simply buying CDs.
More and more banks are offering the ability to perform banking tasks online. Online banking is believed
to appeal to customers because it is more convenient than visiting bank branches. Currently, over 150
million U.S. adults now bank online. Online banking is now the fastest-growing Internet activity. The
increasing speed of Internet connections is the main reason for the fast-growth. Of those individuals
who use the Internet, 44% now perform banking activities over the Internet.
Internet auctions have gained popularity. Unique items that could previously be found at flea markets
are being sold on eBay instead. eBay has also affected the prices in the industry. Buyers and sellers
often look at prices on the website before going to flea markets and the eBay price often becomes what
the item is sold for. More and more flea market sellers are putting their items up for sale online and
running their business out of their homes.
The effect on the ad industry itself has been profound. In just a few years, online advertising has
grown to be worth tens of billions of dollars annually. PricewaterhouseCoopers reported US
Internet marketing spend totalled $16.9 billion in 2006 .