The figures signal an end to the advertising downturn in the US, which saw 6% wiped off ad spending in 2001.
The report, called 'Outlook for Advertising and Media', forecasts advertising trends in the US until 2006.
It shows that internet advertising, which collapsed with the dotcom crash in 2000, will increase by 16% in the next three years, while radio advertising will be up 10% and spend on cable TV will increase by 7%.
The report says that advertising at outdoor venues, newspapers and broadcast TV will also improve, but not by such large amounts.
The recovery in the embattled ad sector will be driven by increased spending by the entertainment, wholesale trade, and services sectors.
John Rose, principal manager of Global Insight's media practice, said: "This is very good news for the advertising market in general, and a ray of light for the economy as a whole. Hard-hit media companies such as AOL Time Warner, Disney and Viacom will feel substantial relief in 2003, as corporate profits improve and increased retail sales drive advertising spending though the year and on into 2006."
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