The business and culture of our digital lives,
from the L.A. Times

« Previous Post | Technology Home | Next Post »

Internet advertising ends 2009 on a high note

April 7, 2010 |  4:03 pm

Internet advertising revenue was down in 2009, but record-breaking spending during the fourth quarter indicates advertisers are slowly regaining their willingness to invest in online ads, a new study has found.Ad rev

According to the Interactive Advertising Bureau (IAB) and accounting firm PricewaterhouseCoopers, overall ad revenue in 2009 hit $22.7 billion, down 3.4% from 2008.

But it was the peppy fourth quarter of 2009 that gave the researchers some hope for 2010. During that period, advertisers spent $6.3 billion on Web advertising, a 2.6% increase over the same period in 2008. The figure set an all-time record for the most ad revenue in a single quarter. Industry analysts and publishers hope that means the worst of the ad slump is over.

The IAB also looked at different sectors of the online-advertising market. In 2009, 47% of all ad revenue was generated through search services. It was followed by display advertising, which was 35% of total revenue. Advertising in classifieds and e-mail captured 10% and 1% of ad revenue, respectively.

-- Don Reisinger

Image: A view of where advertisers spent their cash in 2009. Credit: Interactive Advertising Bureau