The search advertising market is still going strong. The latest report from Efficient Frontier shows that total spending on search-ads jumped 23 percent year-over-year during the most recent quarter, which the search engine marketing firm said was a sign of “larger budget appetite and competition among advertisers as well as increased consumer demand.” All sectors Efficient Frontier tracks showed double-digit gains in spending.
The figures (once again) bode well for Google (NSDQ: GOOG), which is set to report its quarterly earnings on Thursday. On average, analysts expect a 22 percent increase in the search giant’s sales — a figure that is almost identical to Efficient Frontier’s projection. Efficient Frontier says in its report that Google benefited from the integration of Bing and Yahoo (NSDQ: YHOO) during the quarter.
But the firm also projects that Bing and Yahoo’s combined share of total ad-spending will “climb back as smaller and medium sized advertisers with increased budgets take advantage of the volume potential and stronger ROIs on the new platform.” For 2011, Efficient Frontier is expecting a 15 percent increase in search-ad spending in the U.S.