The online advertising market in India presently stands at Rs. 300 crore annually.But things are going to change for better as far as this sector is concerned .It is estimated that the online advertising market to increase by 10 to 12 times by 2011 to touch Rs 2,600 crore from today''s figure of around Rs 300 crore. Within the overall online market the mobile market which stands currently at Rs 50 crore is expected to touch Rs 550 crore in the by 2011-12.

The brands which are propelling the online advertising market is clearly the FMCG sector which have spend a considerable proportion of their revenues for building their brand online.As far as medium of marketing is concerned it is the social networking sites such as Facebook which has emerged as potential brand promotion tools.

Globalising business and dispersal of market is definitely two factors that are contributing to the emphasis on online marketing.But growing input costs, increased competition and the the need to aquire a distinct brand advantage is increasingly pushing the companies to expose their brands to the online and mobile screens.

As far as break up of the advertising medium is concerned Digital display ad spends in India presently stands between Rs 320 crore and Rs 360 crore and search advertisements is estimated at Rs 155 crores.

Sector that put the maximum amount into online advertising is the FMCG sector. FMCG firms spend considerable sums on microsites these days.Going by the trend most television commercials (TVCs) are supplemented with a parallel campaign online in the shape of microsites.Though the microsites have a short life span and a simple interactive site can cost around Rs 2.5 lakh.

But the automobile sector is not lagging far behind.Brands ranging from two- and four-wheeler firms to those manufacturing consumer durables have been advertising their products online.The high -end products like cars have a big presence on the internet and since these are not mass market products, it makes sense to advertise to the specific audiencethrough online advertisements.

Besides traditional online ad tools blog posts are making their way into the digital marketing strategies more prominently.There are now blogs on online biking communities and motorcycle Diaries which garner huge traffic. For example Pulsar, CBZ and Apache have communities on Orkut.

Ved Prakash,ITvoir Network