Online ad revenue up 2.6 pct in 4Q to $6.3 bln

Apr 08, 2010

(AP) -- Online advertising revenue grew by 2.6 percent in the fourth quarter, the first year-over-year increase in more than 12 months as companies became more comfortable with spending on marketing, according to report issued Wednesday.

The Interactive Advertising Bureau and PricewaterhouseCoopers LLP said fourth-quarter ad revenue rose to a record $6.3 billion. It was up by 13.8 percent from the third quarter.

"The worst of the economic impact on is over and that the seeds of growth have been planted," said David Silverman, Assurance partner at Pricewaterhousecoopers, in a statement.

Retailers were the biggest spenders, capturing 20 percent of revenue. They were followed by telecom companies, with 16 percent, and financial services firms at 12 percent.

For the year, online ad revenue fell by 3.4 percent to $22.7 billion, as the drag from the first three quarters of the year more than offset an upbeat fourth quarter.

Revenue from search ads took up nearly half of online ad revenue in 2009 while display ads comprised 35 percent. The fastest growth came in ads that appeared alongside online video, whose revenue increased 38 percent to $1 billion.

The Internet now attracts 17 percent of overall that includes those from TV, radio, newspapers, consumer magazines. That's up from 8 percent in 2005, the report said.

Explore further: Social media sackings risk stifling journalistic expression

0 shares

Related Stories

Signs of recovery for online ad market in US

Apr 07, 2010

Online advertising revenue hit a record 6.3 billion dollars in the United States in the fourth quarter of the year, a bright spot in an otherwise dismal year, according to a report on Wednesday.

Web ad revenue grew in 4Q but slower than in past

Mar 30, 2009

(AP) -- U.S. Internet advertising revenue climbed in the fourth quarter in spite of the poor economy, but the growth rate was sluggish compared to previous years, according to an analysis released Monday.

US online ad revenue down 5.4 pct in third quarter

Nov 25, 2009

(AP) -- Online advertising revenue in the U.S. fell 5.4 percent in the third quarter from a year ago, as the sputtering economy kept its tight grip on even the fastest growing segment of industry, according to a report released ...

Online ad improvement seen in IAC's 4Q loss

Feb 09, 2010

(AP) -- Internet company IAC/InterActiveCorp lost $1 billion in the fourth quarter because it wrote down the value of its search business, but the results beat expectations and offered the latest indication that the online ...

Recommended for you

ICANN chief stepping down in early 2016

May 21, 2015

The head of the group that oversees all Internet addresses will step down early next year, after a plan to end US oversight of the key nonprofit organization.

How alternative currencies could catch on and cash in

May 21, 2015

Alternatives to cash, like Bitcoin and Uber, may never replace the coins in our pockets or paper bills in our wallets, but they are creating significant social and economic impacts, and with some design adjustments, ...

Spotify introduces video, radio service

May 20, 2015

While saying that it is still a music company at heart, Spotify says it is expanding its lineup to include podcasts, news radio and video streaming.

User comments : 0

Please sign in to add a comment. Registration is free, and takes less than a minute. Read more

Click here to reset your password.
Sign in to get notified via email when new comments are made.