The automotive industry will drive online spending to a projected $1.3 billion by the end of 2003, according to data from Borrell Associates Inc., representing a 15 percent increase over 2002

At the local level, auto dealers are now spending $2 on Internet advertising and Web sites for every $3 they spend on local TV advertising. "Auto dealers and manufacturers will spend more money on the Internet, and on Web site advertising, as they become convinced that it should be an integral part of their marketing efforts," noted Colby Atwood, partner, Borrell Associates. Newspaper Web sites will receive $150 million of the big pie, primarily from dealers, making them the largest recipient of local automotive dollars. Measurements from Hitwise indicate that the average session duration for the Automotive Manufacturers category in September 2003 was 6 minutes 41 seconds, with most visits (74 percent) coming from home computers. More men than women (54 percent vs. 46 percent) visited automotive manufacturer sites, and most (26 percent) were in the 35-44 age range. Borrell Associates found that while 4.5 percent of automotive advertising is now slated for the Internet, 47 percent of potential car buyers report using the Internet as a research tool in making their buying decision.