Internet Ad Revenues Reach Record High of $6.3 Billion in Q4 of 2009

If internet ads are any indication, we are certainly going out of the recession.

The Interactive Advertising Bureau IAB and PricewaterhouseCoopers LLP (PwC) today released the IAB Internet Advertising Revenue Report for the full year 2009. US Internet advertising revenues totaled $22.7 billion in 2009 –  a 3.4% decline from 2008. Despite this particular number,  there are signs of an emergent recovery in the industry. The fourth quarter of 2009 hit a record quarterly high of $6.3 billion – a 2.6% increase year-over-year and a 14% increase over the third quarter of 2009.

Interesting points in the report:

  • Search revenues, comprising 47% of the total, amounted to nearly $10.7 billion for 2009, up slightly from 2008.
  • Display-related advertising – which includes display ads, rich media, digital video and sponsorship – totaled nearly $8 billion in 2009, showing an increase of 4% from 2008.
  • Digital video continues to grow rapidly, with an almost 39% increase from 2008 to 2009.
  • Based on industry data from PwC from 2005 to 2009 in five key U.S. ad-supported media (television, radio, newspapers, consumers magazines and Internet), the internet’s share of combined ad revenue grew from 8% to 17%.

“The latest IAB Internet Advertising Revenue Report makes clear that digital media are now a core component of successful advertising and marketing campaigns,” said Randall Rothenberg, President and CEO of the IAB. “As consumers spend more of their time immersed in digital media, marketers are increasingly reaching them there – building brands online and making digital the central force in their cross-media strategies.”

A copy of the full report is available here.

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