Internet advertising is no longer all about paid search. Targeted online display advertising is exploding. Spending for Internet advertising with a behavioral targeting component will soar from $575 million this year to $1 billion in 2008, and that still represents only 11% of the US display, rich media and video market.

There are three key reasons for the large spending gains:

- Behavioral targeting helps marketers reach a more engaged audience with fewer ad impressions

- Behavioral targeting helps publishers monetize their "long tail" pages ? the non-premium or remnant inventory that either is sold for less money or remains unsold

- Even though individuals are often not aware of the process, many tend to find ads targeted by their actions to be more relevant to their needs, and therefore more palatable or even welcomed

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