General community websites enjoyed the largest rise in online advertising revenue during June 2005, with Nielsen//NetRatings reporting a massive 214% year on year growth to reach $33 million.
Adspend on health and fitness websites grew by 80% in estimated revenue to more than $4.5 million, compared to the same period last year, while business websites took in $12.6 million, rising by 46% year on year.
Explaining the findings, Gerry Davidson, senior media analyst at Nielsen//NetRatings said: “General community sites tend to have a higher level of engagement of interactivity with their users, making the sites very attractive to advertisers.”
Nielsen//NetRatings revealed that the top three online advertising categories, financial services websites, web media sites and retail goods and services, collectively spent $228 million on online advertising, making up half of the estimated $456 million spent during June 2005.
The financial services sector spent an estimated $80 million on online advertising during June 2005, growing 16% year on year, web media sites and retail goods and services spent $73 million dollars, jumping 77% year on year.
Davidson said: “Our MegaView Financial data shows that 53% of the active internet universe, or 74 million people in the US, are currently conducting financial activity online. As a result, financial services companies have remained very aggressive in spending the most advertising dollars online as they seek new online customers.”
He added: “Online retailers have boosted their online advertising spending by a significant 77%, which is impressive to note because they are also one of the top spenders.”
Online adspend for the telecommunications sector increased by 38% in June to hit $43 million, while online advertising expenditure for travel grew by 26% to reach $33 million.
In the US, online advertising in 2005 is predicted to rise by nearly 34% to about $13 billion. Paid search is estimated to grow by 40% over the year to $5.4 billion, up from previous estimates of $4.7 billion, according to analyst eMarketer (see US Online Ad and Marketing Spend To Reach $14.7 Billion in 2005).
A report published earlier this year by Jupiter Research predicts US online adspend to reach $16.1 billion by 2009, almost doubling 2004’s figure of $8.4 billion (see US Online Adspend To Reach $16.1 Billion By 2009).
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