Nov 22 2007

Online Advertising Up 32 Percent

Published by at 2:33 pm under directory,online advertising revenue,search

Online Advertising

PricewaterhouseCooper have released a report about online advertising revenue for the 2007 third quarter.

Online Advertising in Australia has grown 32% when compared to the third quarter last year and amounted to $347 million for the quarter.

The Internet Advertising Bureau are predicting total expenditure to reach $1.4 billion by the end of the year, representing annual growth in the vicinity of 39%. Other predictions are between $1.3 and $1.5 million.

Online advertising topped $1 billion for the first time in 2006 (and represented growth of 66%).

Not unexpectedly, search and directories continued with the strongest growth, up 53% on the corresponding period in 2006. Display showed 24% growth, and online classifieds increased by 13%.

Julian Lee from the Age reports:

OFFICIAL figures indicating a slowdown in the growth of online advertising appear to have finally silenced the more bullish voices in the market. For now.

and

In the past three years, the online ad market grew by an average 60 per cent a year. Most of the industry is slowly coming to terms with the reality that the boom days are over.

It’s an interesting contrast to a TechCrunch post today “Spiral Death Watch: Newspaper Ads in the Can“commenting on U.S. trends

Newspaper ad sales continue their long, sad decline, down 7.4 percent in the third quarter. The shift to online is not going to save the industry…..While online ads keep growing at a healthy clip, up 21 percent to $773 million industrywide, it is not enough to make up for the decline in print ads.

With a finite amount available for advertising, it makes sense that the growth in online advertising will eventually level out. There’s only so much available to be taken from off-line sources.

Related: Australian Online Revenue – the Results.

4 responses so far

4 Responses to “Online Advertising Up 32 Percent”

  1. Cellobellaon 22 Nov 2007 at 8:26 pm

    hmmm maybe I should consider advertising….

  2. Neeravon 22 Nov 2007 at 9:33 pm

    Do you think that it the growth in online advertising will level out soon?

    From working behind the scenes in the internet marketing industry I reckon that the shift from offline ads to online has only just begun and will accelerate further

    Fingers crossed because if it happens that will be good for your business and mine :-)

  3. Kinon 25 Nov 2007 at 7:45 am

    Definitely food for thought. I have thought about advertising, but still not sure how best to go about it.

  4. Dean Collinson 25 Nov 2007 at 8:28 am

    Anyone want to discuss mobile analytics? There doesn’t seem to be a lot of discussion about it.

    Are people actually tracking these mobile browser interactions ? and I dont mean ‘panel reports’ which should really be called market research rather than analytics.

    I know I have a ‘barrow to push’ working for http://www.amethon.com but it seems most people are more worried about mobile web content looking good on mobiles rather than actually tracking usage.

    I know the IAB discussed standardised desktop analytics in April this year and how it related to marketing value/consumption but it appears whilst people happily talk about online advertising being a 1billion dollar plus industry and mobile web being a growing portion of this that people are flying blind when it comes to mobile analytics.

    Check out http://www.amethon.com/Content_Common/pg-Port-Analytics.seo for more info or drop me an email if interested in discussion commercials but better still post here and talk about what you are using to measure your mobile web content interactions…. or are you happy to fly blind as well?

    Cheers,

    Dean Collins
    Dean.Collins@Amethon.com