...that's according to a new five-year forecast from Forrester Research, which also forecasts almost half of marketers plan to decrease spending in traditional advertising channels like magazines, direct mail, and newspapers to fund an increase in online ad spending in 2005. Total US online advertising and marketing spending will reach 14.7 billion in 2005, a 23% increase over 2004. Forrester says online marketing and advertising will represent 8% of total ad spend in 2010 - - rivaling ad spending on cable/satellite TV and radio.

"Despite significant changes in consumer behavior, there is a large disparity between the amount of time consumers are spending online and the money marketers are spending trying to reach them online," says Forrester Research analyst Charlene Li. "When at-work Internet use is taken into consideration, online consumers spend more than one-third of their time online -- roughly the same amount of time they spend watching TV. Yet marketers spend only 4% of ad budgets online versus 25% on TV."

Key data points include
:

* Search engine marketing will grow by 33% in 2005, reaching 11.6 billion by 2010. Display advertising, which includes traditional banners and sponsorships, will grow at the average rate of 11% over the next five years to 8 billion by 2010.

* New advertising channels will draw interest and spending from marketers. 64% of respondents are interested in advertising on blogs, 57% through RSS (Real Simple Syndication) and 52% on mobile devices, including smart phones and PDAs.

* Marketers are quickly losing confidence in the effectiveness of traditional advertising channels and feel that online channels will become more effective over the next three years. 78% of survey respondents said they think search engine marketing will be more effective, compared with 53% of respondents who said TV advertising would become less effective.

* The only non-digital advertising channel to reach the same level of confidence as online channels with marketers is product placement -- only 8% of respondents believe that product placement will become less effective over the next three years.