This is a recent (May 2007) report from eMarketer that estimates that ad spending on social networks will continue to increase(30% increases?) significantly in the next 5 years. And that was before the Facebook platform opened up.
What companies and agencies need to realize is that they need to be educated about Web 2.0 and it’s services/platforms/applications. I always read on forums and posts that the Facebook/MySpace/etc. people can’t be gotten hold of for their 5K programs. So figure it out. Use some of the Web 2.0 tools available and put something (widgets, rss feeds, podcasts) together. For 5K, you’re lost on MySpace, but you can get a lot more attention with a program with more focused approach and a broader outreach.
A recent report from eMarketer notes the importance of social networks online, estimating their marketing to reach $2.5 billion between 2007 and 2011 in the U.S., a 180% increase from this year.