by Georgia S. Peaches

Created on: April 24, 2009

Its amazing to think of all the adverse and positive domino effects that can come when one huge industry falls. Few consumers really realize the impact that goes on in the business world when they start closing there wallets and tightening their budgets.

It amazing to say that the last thing you really want to do in a recession, is stop spending money. Other wise the domino will reach you, and what ever you do for a living will be rendered unaffordable.

In the instance of the automakers' smaller budget in the next few years out of the recession, there are going to be so many domino's falling, you won't know which direction to look. For the purpose of this article, lets talk about the effects that a lower advertising budget from the auto makers will have on the internet.

Now, we all have a pretty clear picture that the internet is going to overrun both TV and Radio eventually. Why would you need a TV and a Radio, when you have a Computer and an Interactive Cell Phone? You wouldn't, and thats the point. Automakers and their marketing teams realized a long time ago that it would be a smart move to monopolize the internet ad space as much as possible. Which means that since the advent of social networking and search engines, the automakers have been paying billions out to websites, seo companies, and other high traffic web advocates, to put pictures of their cars out every where.

The big manufacturers; Ford, Chevy, Dodge, Nissan, Honda, Toyota, Acura and others have put out highly extensive parts of their budget to advertising. The more people that see their ads, the more likely they are to get to as many people as possible. And with the interet so conveniently located in the potential customers lap, there's no better way to reach everyone.

When the government bail out had been radically cut to insure that the auto makers and manufacturers started working harder for their money, they had to make some serious changes. The CEO's get less, the laborer's get less, the marketing gets less, and of course, the advertising gets less. They had to lower budgets as much as possible, and it was the only option if we weren't going to lose some of histories strongest car makers.

It used to be that everywhere you surfed on the net, you would see a little banner, a strange pop up, or some link that pointed your way to an auto maker who could cut you the best deal, find you the finest model, or customize any vehicle to your liking. Now, when you look around, you are more likely to see other ads taking over the screen, and smaller less noticeable ads from the auto makers.

The significant drop in advertising from them is already noticeable, and it may not spell out the best future for those 'could be rich' manufacturers. They won't go out of business by going this way, but they won't be able to sell for such outrageous prices, and they will have to focus their energy on more 'green vehicles' than on anything else.

I predict that the drop in advertising from automakers will have a diverse effect around the internet. Because of the drop in revenue that the ad companies were making from automakers, those ad companies are more likely to make themselves available to anyone and everyone, in order to try and reinstate the great income they were making from ad space buyers. Ads will most likely become cheaper and more convenient as well, since they won't be so hard to find or get.

The real question isn't about the effects of losing auto ads will have on the internet, the real question should be

"Who do you think will monopolize the internet ad space next?"

Learn more about this author, Georgia S. Peaches.
Click here to send this author comments or questions.