That’s according to a new report released by Borrell & Associates. In this latest report Borrell focuses on the amount of money that goes into the cost of producing and managing digital, before a dollar is even spent on advertising.
Businesses in the United States will spend $776 billion dollars in this category in 2019, according to the new report. The projection for 2020 is $808 billion.
That money is being spread over many companies in a lot of different categories, such as SEO, website design, listings claiming, reputation management, hosting, video production.
Providers in this space range from GoDaddy, with its $2 billion U.S. hosting, domain, and services business; Amazon with its $100 million Amazon Web Services business; SAAS providers like Hubspot, Web.com, and Wix.com; and thousands of local media companies trying to hold onto their current advertising customers by servicing their digital marketing needs.
Radio companies have really started to ramp up their digital services offerings for local businesses and we are now starting to see how that’s helping those companies grow revenue as local spot revenue continues to struggle.