LONDON: Online adspend in Europe, the Middle East and Africa will increase from $19.4 billion (€13.9bn; £11.9bn) in 2008 to a total of $25.2bn in 2013, according to PricewaterhouseCoopers.

The professional services firm estimates that online display revenues will decline from $5.1bn in 2008 to $3.8bn in 2013 in these regions, as online budgets are diverted elsewhere.

It is also expected that display revenues in the US will slide from $4.8bn to $4.4bn in this period, with declines this year and next before the medium returns to growth in 2011.

Search advertising, by contrast, will enjoy steady expansion, largely because of the benefits it offers in terms of targeting and measurement.

Eva Berg-Winters, entertainment and media senior manager at PwC, said the recession had encouraged "a shift in business models, and search is seen as the best return on investment."

However, she also argued that "online display is still in its infancy", and "post-downturn we expect search and classified to hold up, and for display to enjoy growth."

Online video is among the other ad formats forecast to see revenue levels rise, posting a compound annual growth rate of 19.3% in Europe, the Middle East and Africa, and of 8.3% in America, over the timeframe covered by PwC's report.

Data sourced from AdAge; additional content by WARC staff