US Internet ad revenue grows 15 percent in 2012

Apr 16, 2013 by Barbara Ortutay

U.S. Internet advertising revenue grew 15 percent to a record $36.6 billion in 2012, with mobile ad revenue growing faster than other types, according to a new report Tuesday.

The report from the and PricewaterhouseCoopers said that mobile ad revenue more than doubled from the previous year to $3.4 billion. It accounted for 9 percent of total Internet ad revenue in 2012. In 2011, the $1.6 billion in mobile ad revenue made up 5 percent of the total. Mobile ads represent an area of growth for many companies, including . and Inc. Facebook started showing mobile ads last year.

Research firm eMarketer, which includes more types of in its calculations, expects U.S. mobile ad spending to grow 77 percent in 2013 to $7.29 billion from $4.11 billion last year.

Search ads, where Google dominates, still account for nearly half of all online advertising revenue, at $16.9 billion in 2012, according to the report.

The IAB, which represents media and technology companies, releases online advertising revenue numbers each quarter. Management consulting firm PricewaterhouseCoopers compiles the data based on information from companies that sell advertising on the Internet.

Brian Wieser, analyst at Pivotal Research Group, called the online advertising growth rate "solid" at 15 percent, but noted that "we can clearly see that if we strip out growth from Google and Facebook, the rest of online advertising likely grew by 3.8 (percent)."

"This bodes poorly for conventional such as Yahoo, as Google and Facebook are likely to remain as the most dominant sellers of online advertising," Wieser wrote in an emailed research note.

Explore further: The New York Times to cut 100 newsroom jobs

More information: IAB: www.iab.net

not rated yet
add to favorites email to friend print save as pdf

Related Stories

Facebook to pass Yahoo! in display ad revenue

Jun 20, 2011

Facebook is on track to pass Yahoo! in US display advertising revenue this year while Google will also gain market share, according to a forecast published on Monday by digital marketing firm eMarketer.

Google becomes online advertising king: study

Sep 19, 2012

Google has become the US market leader in online display ads, and now leads all categories for Internet advertising including search and mobile, a market research firm said Wednesday.

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 ...

Recommended for you

The New York Times to cut 100 newsroom jobs

16 hours ago

The New York Times Co. says it is cutting about 100 newsroom jobs through buyouts and layoffs in an effort to trim costs and focus more on its digital efforts.

What's PayPal's first solo move?

Sep 30, 2014

PayPal's impending split from long-time partner eBay Inc. will ratchet up its appeal to online retail competitors such as Amazon.com and give it the freedom to aggressively take on new mobile pay challeng ...

AOL to feed more video, news to Microsoft's MSN

Sep 30, 2014

AOL will provide Microsoft's MSN with more video and additional news stories from popular sites such as The Huffington Post and TechCrunch in an expansion of a deal aimed at selling more digital advertising.

User comments : 0