Web ad spending hit $23.4 billion in 2008, up 10.6 percent over 2007. Fourth quarter 2008 revenue growth was more conservative at 2.6 percent; total online ad spending for the quarter was $6.1 billion.
While that 10.6% growth is down from the whopping 26% growth seen in 2007, it’s still pretty darn good–and shines a bright spotlight on just how badly the newspaper business is doing with its migration to online formats.
Breaking down online ad growth, we see that search grew 20% and performance-based ads rocked the house with an impressive 57% share of all ad spending.
I’ll leave you with one stat that left me scratching my head
[David Silverman, partner at PriceWaterhouseCoopers] cited video ad spending as a significant growth category. Video advertising revenue rose from 2 percent in 2007 to 3 percent of overall online ad spending in 2008.
So why did Google just shut down its video ad units?