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Internet Ad Revenues Reach New Heights



Internet ad revenues are climbing, which must mean people are buying. (Or at least, I hope so.) According to new numbers from the Interactive Advertising Bureau, ad revenues hit $14.9 billion in the first half of this year. That’s a growth rate of 23.2%.

The second quarter of 2011 was record breaking, with a reported $7.7 billion over $6.2 billion from the same time last year.

Small Screen, Big Payoff

Although growth was good in all segments, video took top honors with growth equal to 42.1% over last year. Video is slowly becoming a viable option for advertisers of all sizes since video hosts such as YouTube have made it easier to do. You also have to look at the sheer number of videos that are popping up online. Now advertisers can choose from a wide variety of short form videos or hook their wagon to full-length TV shows and movies.

Just take a look at the new fall, TV season. It wasn’t so long ago missing a season premiere meant waiting for spring reruns in order to see what you missed. Now, viewers can find those shows on network websites, iPad apps or OnDemand, and often within hours of the original TV airing. And every episode comes with advertising attached, ads that can’t be skipped over, as they can be with a DVR.

A Banner Year

Video may be growing fast, but most of the money is still going to search (49% of the total.) Right behind that is display, with 37% of the spend, equaling more than $5.5 billion in the first half of this year. That’s a 27.1% increase over the same time last year.

David Silverman of PricewaterhouseCoopers LLP thinks that accountability is responsible for the rise in ad revenue. Every year, we get more effect tools for measuring the ROI of online ads and that means companies can be confident about where they spend their marketing dollars.

  • Kris Roadruck

    I love how there is 14 ads on this page talking about internet ad revenue. How meta.