• by Jack Loechner , Staff Writer @mp_research, July 17, 2006

According to exclusive research by PQ Media, spending on alternative media strategies surged 16.4% in the first half of 2006 to an estimated $53.37 billion compared with the same period of 2005. PQ Media estimates that spending on alternative media will accelerate in the second half of 2006, to a full year forecast of growth at 18.5% to $115.77 billion.

Alternative marketing is expected to increase 17.6% for the year, fueled mainly by mobile and interactive marketing, according to the PQ report Alternative Advertising & Marketing Outlook 2006.

All four broad segments of Alternative Media - entertainment and out-of-home advertising, online advertising, branded entertainment marketing, and mobile and interactive marketing - posted double-digit growth for the year. Branded entertainment, including product placement, event marketing, event sponsorships, webisodes and advergaming, is the largest segment of alternative media, and is expected to grow 15.5% to $51.62 billion in 2006. The value of product placements will reach $5.71 billion at year's end, up 27.6% from the 2005 level.

Patrick Quinn, president of PQ Media, said "The data gleaned from our Alternative Media Network indicates that brand marketers are accelerating the shift of media dollars away from conventional to newer media using digital technology to reach youth and influential demographics."

The report notes that, while alternative media spending surged in the first half of the year, expenditures on traditional media increased only 4.5% in the first half of 2006, reflecting the shift in advertising and marketing spending. Traditional media expenditures on various print and broadcast vehicles, and are expected to remain in the single digits for the full year as well.

An executive summary of Alternative Advertising & Marketing Outlook 2006 is available online here.