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U.S. Web Ad Revenues Set Record

08 Nov 2012

According to the IAB Internet Advertising Revenue Report by the Interactive Advertising Bureau and Pwc US, internet advertising revenues climbed to an all-time high of $17 billion, in the first half of 2012, representing a year-over-year 14 per cent increase.


Highlights of the report include:

• Mobile generated significant growth, up 95 per cent to $1.2 billion in the 1st half of 2012 from $636 million in the comparable 2011 period
• Digital video, a component of display-related advertising, saw an increase of 18 per cent year-over-year, bringing in a little over $1 billion in revenue in the first two quarters of 2012 compared to nearly $900 million in the first six months of 2011

• Search revenues in the first half of the year totaled $8.1 billion, up 19 per cent from nearly $6.8 billion during the same timeframe in 2011

• Display-related advertising revenues in the first half of the year totaled almost $5.6 billion, accounting for 33 per cent of 2012 half-year revenues, up 4 per cent from $5.3 billion in the first half of 2011

• Retail advertisers constitute the largest category of internet ad spending for the first half of this year, claiming 20 per cent of the total revenues at $3.4 billion, while Automotive brought in $2.2 billion for first-half 2012, marking an uptick to 13 per cent versus 11 per cent of category spend reported for half-year 2011 at $1.7 billion


Randall Rothenberg, President and CEO, IAB, says that "... this report establishes that marketers increasingly embrace mobile and digital video (and) interactive platforms... on the heels of a study from Harvard Business School... that points to the ad-supported internet ecosystem as a critical driver of the U.S. economy... "


David Silverman, a partner at PwC US, says "... bringing the power of the Internet to mobile devices has opened up a world of possibilities to both consumers and marketers..."


Sherrill Mane, Senior Vice President, Research, Analytics and Measurement, IAB, observes that "... double-digit growth in a stagnating economy is a significant accomplishment... CPMs are maintaining, and even increasing, further substantiating the vitality of the internet ad market... "


Source: Mediapost



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