Online Adspend Shows Growth Despite Tough 2001
Total online advertising spend increased by 7.1% year on year during 2001 to £165.7m, according to figures published today by the IAB.
The research, which is based on revenues reported by the finance departments of online media owners, shows that the industry experienced “clear growth” during 2001 despite a depressed economic landscape and recessionary behaviour in the advertising market.
Chief executive of the IAB, Danny Meadows-Klue, said: “The switch to online advertising continues. Audiences are rising and commercial confidence levels are up. Today the marketing campaigns of traditional brands are driving the medium’s growth, replacing the marketing dominance of young internet companies.”
According to the report, the majority of gains were made during the first half of the year, but in general online’s performance was found to have closely mirrored the advertising sector as a whole.
The IAB says that sector’s growth during 2001 was driven by the weakness of brand advertising, which prompted a fall across most media during the third quarter of the year. According to the internet body, channel switching also became more prominent as marketers pulled spend from television and press display to move to more “accountable channels”.
Other factors that contributed to the increase in online adspend include the development of new advertising products and the introduction of a range of industry standards, which helped to spread advertising spend more broadly across the range of online products.
The IAB is currently working on plans to expand its standards and research programmes outside of the UK in an attempt to strengthen the European online advertising market.
The internet body is considering partnerships and mergers with European domestic trade bodies and is embarking on a research programme that will draw together the advertising effectiveness research from different countries. Meadows-Klue said: “Research and standards are key to making the online market more effective.”
Interactive Advertising Bureau: 020 8683 9667 www.iabuk.net
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