In 2008 the European online advertising market was worth €12.9 billion with a like-for-like growth rate compared to 2007 of 20%, according to new research from the Interactive Advertising Bureau Europe.
The top 10 markets in Europe account for 93% of the total value of the market, the report found.
The Netherlands, Europe’s early adopter of online advertising grew only 9% in 2008. Other mature online markets saw similar trends, with growth slowing in France at 18.5%; the UK, Germany and Sweden at 19% and Italy at 20%.
Just beating the 20% barrier, Belgium grew 21% and Denmark and Norway hit a 22% growth rate. Spain by comparison saw relatively strong growth at 26%.
Search remains the leading format in Europe with the strongest year-on-year growth rate of 26%, accounting for 43% of online ad expenditure in the 19 countries measured and a value of €5.6 billion.
Classifieds are next in terms of year on year growth rates at 17.4%, 26% share of ad spend and a market value of €3.8 billion.
Alain Heureux, president and CEO of IAB Europe, said: “Overall the picture in Europe is one of growth, but what is clear from these figures – and what will surprise no one – is that 2008 was a tough year for online advertising.
“The focus on search and classifieds underlines just how important making online ad spend accountable is for our industry to develop and grow, and it is why IAB Europe has been supporting research into its measurement.”
Recent research from The Nielsen Company revealed that levels of online display advertising activity in the UK during the first four months of 2009 were up 21% year on year (see UK online display advertising up 21% year on year).
Elsewhere, the IAB UK revealed that UK online adspend grew 17.1% in 2008, to £3.4 billion (see UK online adspend grew 17.1% in 2008).
