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The State of Search Engine Marketing 2004

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SEMPO's "The State of Search Engine Marketing 2004" report was released tonight at SES. Pamela Parker offers an overview in this Clickz article.

The article highlights some numbers:
The survey of 288 search marketers found the industry will spend $4 billion on both paid and organic search in 2004, including in-house and outsourced expenditures. By contrast, a recent JupiterResearch study said paid search would account for $2.6 billion in spending in 2004.

+ Next year, advertisers plan to spend, on average, 39 percent more on all types of search engine marketing than they did in 2004.

and some findings:
Contrary to what's been reported in other research, the SEMPO study found that most advertisers plan to handle the majority of their search marketing in-house rather than outsourcing it to an agency. Fifty-two percent of advertisers said they would handle all of their 2005 spending in-house. Larger advertisers were more likely, however, to outsource more of their budgets. A recent JupiterResearch report said that only a third of search marketers used an agency, but, because larger marketers tended to outsource, agencies control more than half of search marketing spend.

Expect more about the new SEMPO report in SearchDay later in the week.


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