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Online Ad Spending Expected to Increase

The online advertising industry hit a new high in 2010 with ad revenue topping the 26 billion dollar mark. After a falling in 2009, performance based-spending on forms of search advertising and digital display ads began to lead the way.

The Interactive Advertising Bureau reports that online ad revenue increased by around 15% to the 2010 mark of $26 billion, up from the $22.6 billion from 2009. Other important elements of their 2010 ad revenue report include:

  • In addition to record numbers for the entire year, ad revenue reached a record quarterly high in the fourth quarter of 2010.
  • Search Ad revenue was the most popular format chosen and it alone represents 46% of revenue. Additionally, it achieved an overall 12% growth for the year.
  • With a 142% increase in the fourth quarter alone, Sponsorship ads received the highest growth with an 88% increase.
  • US Mobile ad revenue seen an increase of between $550 and $650 million.
  • Display advertising, including banners and display ads, digital video commercials, rich media and sponsorships continued to see growth with a nearly 10 billion dollar increase over 2009 numbers.

Top Display Ad Networks

Digital display networks are growing swiftly in popularity for small and large businesses. Ad display advertising can offer a company the opportunity to communicate directly with consumers who are interested in their products and services in addition to potential earnings just from advertising revenue.

Several display ad networks tend to reach far more users than others.

  • Yahoo’s network reaches more U.S. users than any others with high reaching numbers at 85.9%.
  • AOL Advertising leads an extremely close second at 85.7%.
  • Google’s own Ad Network comes in with 82.7%.

Other leading display networks include:

  • ValueClick
  • Turn Media
  • 24/7 Real Media
  • AdBrite
  • Collective Network
  • Specific Media
  • Microsoft

With five constructive quarters behind us, online advertising revenue expenditure is likely to continue to break previous financial marker milestones. If last year’s overall ad revenue profits are any sign of impending trends, display network advertising may be making its way into the advertising campaigns of many new businesses.

Sources:

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