Internet advertising revenue in the UK exceeded £90 million in the first half of 2001 – an increase of £26 million or 42% on the same period last year, according to the latest research carried out for the Interactive Advertising Bureau (IAB).
The study, which measures the industry based on figures submitted by the finance departments of online media companies, shows that the internet was the only sector to show “double digit growth” in ad revenue during the first half of this year, with most other advertising sectors contracting over the same period.
Banner advertising continued to draw the largest volume of revenue, but additional media formats such as interstitials, sponsorships, tenancies and nested content demonstrated ‘real incremental growth,’ according to the report.
Chairman of the IAB in the UK, Danny Meadows-Klue, said: “Online is now fixed in media schedules for brand campaigns – and the range of new standards have made the industry an efficient and easy buy.”
The report also uncovered significant changes in online spending patterns with FMCG, financial services and retail advertisers performing strongly, while entertainment, media, technology and telecoms brands saw their share of advertising spend decline. The ten largest publishers and ad networks continued to dominate the online advertising sector, commanding 89% of the total market share.
The growth of the online advertising market will bolster confidence in the industry after the latest quarterly report from Oftel revealed that internet uptake in the UK remained static during quarter three for the first time since January 1999 (see Forecasts).
