IAB Figures Reflect Impact Of Global Slowdown On Online Spending

Although these figures are in line with CRM figures for the same period (see Forecasts), analysts continue to see online as the one sector which will enjoy growth in 2001 (see Forecasts).

When measured against similar media types with short buying cycles online advertising was stronger in the last six months than spot TV, which declined 14.7 percent, national spot radio, which was down 22.4% and Sunday newspapers which lost 10.4% (see Forecasts).

“We believe that the numbers we are reporting today must be viewed in the context of advertising overall. While the declines are not insignificant, they are well within the parameters of the overall advertising industry’s experience and seen in perspective, they reflect our confidence in the long term value of the online medium,” said Robin Webster, IAB president & CEO.

“This has been an important year for the Internet and online advertising. The Internet is recognised as a crucial source of information and usage is growing worldwide. During the past six months, IAB members have made impressive strides in developing new ways of advertising online, creating effective campaigns and measuring their success,” said IAB chairman, Shelby Bonnie. “Ours is a dynamic medium that, even in a slowing economy, has shown that it is gaining advertisers’ trust relative to other media.”