Friday, April 29, 2011

Digital Ad Revenue surpasses Newspapers

No real surprise here and it amounts to a 24% jump.

The article report... Digital Ad Revenue Soars In 2010, Surpasses Newspapers
Internet-based advertising revenue increased 15% in the United States in 2010, surpassing newspaper advertising revenue for the first time, according to The Interactive Advertising Bureau (IAB). The bureau's annual report, prepared by PricewaterhouseCoopers LLP and released last week, revealed that online advertising climbed to $26 billion – about $3.2 billion more than newspaper ads.

"Brand advertisers and marketers have adopted the power of digital media as a central element of their campaigns," IAB President and CEO Randall Rothenberg said in a statement. "Consumers have shifted more of their time to digital media – watching television shows and movies online – and advertisers now accept this multifaceted medium as a key component for reaching their targets." That may be, but television still remained king of the advertising roost, registering $28.6 billion in revenue in 2010.

Media buyers spent most of their Internet ad dollars on search advertising, which accounted for 46% of online spending. While search advertising revenue was up 12% compared to 2009, the percentage of revenue coming from search essentially remained flat. The fastest-growing segment of Internet advertising was sponsorships, which soared 88% over the year before and 142% in the fourth quarter alone. Last year's Internet ad revenue growth was also propelled by a 24% jump in display advertising, including display banner ads, rich media, digital video and sponsorships. For the first time, the IAB report included the growing mobile advertising market, which was estimated at between $550 million and $650 million in 2010

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