The Guardian
topics
Close Box

News From Us:

Our latest report; our new video section; and jobs with paidContent.org and paidContent:UK


IAB: Online Ad Spend Declines 5.3 Percent To $10.9 Billion In First Half ‘09

The Interactive Advertising Bureau offered further evidence that online ads were not immune to the wider economic downturn, pointing out that during the first six months of 2009, spending in the category fell 5.3 to $10.9 billion. In keeping with that figure, Q2 online ad spending was down 5.4 percent to $5.4 billion. In a webcast hosted by the IAB with its research partner PriceWaterhouse Coopers, sought to put the numbers in context by pointing to Nielsen’s recent finding that total U.S. ad spend fell 15.4 percent during h109. Still it was no surprise that online was affected as it was. This summer, the IAB noted that Q109 represented the industry’s first decline in several years, as revenues dropped 5 percent to $5.5 billion.

As for individual segments, search brought in about $5.1 billion h109, up about 2 percent from that same period last year. Meanwhile, display totaled nearly $3.8 billion during the period, showing just a small decline of 1.1 percent from a year ago. Sponsorships, which had been growing over the past year, has shrunk and is not likely to turn around for a while. The only bright spot remains digital video which gained 38 percent in h109, though the spending there comprises a narrow slice of the online ad pie at just $477 million.

During the webcast, the IAB and its partners tried to offer some glimmers of hope for the latter part of ‘09, with marketers typically spending 52- to 54 percent over their online budgets during the final six months of the year, said PwC’s David Silverman. But as the economy’s recovery remains uncertain, that usual boost can’t be counted with as much certainty.

Related Stories
Oct 5, 2009 11:03 AM ET

Arrow Down

Share

Posted In: Advertising, Research & Metrics, Research

  • Mark

    At the same time the number of people clicking on the online ads (or CTR) nosedive!

    According to comScore studies, 84% of the internet users do NOT click on ANY ads at all! And, 85% of the clicks that go through come from only 8% of the Internet user base!

    http://www.marketingcharts.com/interactive/display-clickers-take-big-nosedive-drop-by-50-10635/?utm_campaign=newsletter&utm_source=mc&utm_medium=textlink

  • Dorian Benkoil

    Hey, David,

    are other things that are now marketing but not ads in the traditional sense included in this, though?

    Virtual goods, Facebook fan pages, content widgets, dedicated blogs, YouTube videos, sms text messages, outdoor ads on digital signage, etc, etc.

    Cuz if we count those, bet we'd see more money moving to digital than ever.

The Economics of Content | paidContent Newsletter

Know something we don’t?

Send Us a News Tip

All tips are anonymous and untraced.

Sponsors

Contributors