There is a theory that I have. That theory is that most digital marketers don’t actually know what the internet market place is about now or in the immediate future. And yes, I am writing this article while in my steel re-inforced second world war bunker in the back garden.

The outrageous amount of £2 billion (in the UK) was spent in 2006 on online marketing using advertising, promotions, viral campaigns, websites, videos, games and competitions, setting up shop in social networking sites and whatever some bright digital creative thought of. Of that huge amount, and growing as we speak, I think a fair amount was spent on trial and error efforts.

Nobody has quite sussed out what the internet is about, and that includes marketers. The latest ‘white hopes’ that have been latched onto, are the social networking sites. A substantial chunk of clients’ advertising budgets are finding their way onto MySpace, Facebook and Bebo amongst others. And sometimes those ads appear on pages of extremist groups. Aah oops.

I read a great explanation of the underlying concept of advertising and the internet just recently on iMedia Connection. The writer, Jarvis Coffin, says about the internet that ‘it’s not about splash, it’s about ripple effect’. Possibly this idea is what has made the advertising agencies turn their backs on digital. Not enough big splash for them and lacking the dramatic effect of for instance a grand TV campaign!

There are some noteworthy exceptions of course, such as FCB Johannesburg which has always had a very strong interactive division. The top 100 digital production houses in the UK are mostly specialists in their field and not attached to traditional ad agencies.

Probably one of the things that frightens marketers (and ad agencies) is the fact that the online consumer is so much more adverse to advertising. These are not glassy eyed TV watchers who allow the commercials to spill over them who might go and put the kettle on or get a beer during ad breaks, but mostly watch them regardless.

The internet user is opposed to advertising and expects to be able to ignore, close, skip or opt-out of ads. The online user is more empowered, more opinionated and always on the look-out for customer endorsements. I have never complained about a print or TV ad. I have mailed in twice already to complain about online ads.

So what is happening with the internet and advertising. I have no idea, sorry. Just as clueless as everybody else. There is one small trend I see in the UK though, which makes me watch the whole thing with some interest. There is a bundling of landline, mobile phone, TV and broadband services on offer in the UK and presumably in other developed countries. At a ridiculously low price.

This could be an indication of the future. See also what Apple is doing. They are offering, via iTunes, an episode of a soap or series at just under £2. So far the quality is not that great, but it’s early days. And possibly the target gadget is in fact the iPhone rather than a computer screen. Or a new iPod with a larger screen?

Besides Apple, who does one watch to get some idea on the future of the internet or web 3.0. What is Google up to? I have a feeling that Google is still trying to get as many details of you the consumer, so that they can target search better, or that’s what they say is the reason for collecting all the info on you. Search is good, but not the next great thing.

Let’s just, for fun, watch what Yahoo is up to. Yahoo, more than any other company focused on the internet, is still grappling with what to do with the internet. I prefer to watch a company still searching rather than one refining an existing product such as Google and search.