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Online Advertising Spending Projections

ad serverAccording to the latest official tally release, 15% of the Internet advertising revenues grew in the second half quarter from a year ago that is 2011. The Interactive Advertising Bureau said that online revenues hit a record of $8.4 billion from all sources. However revenues are grown in 2012, but it is expected to slow down in the following years.

15% growth rate is not bad in these uncertain economic times, but it is a considerable drop compared to a year ago, when revenues rose 23%.

IAB didn’t provide a particular reason for the growth down, but ad folks across the spectrum of advertisers, agencies, and publishers have noted caution on the part of marketers as the economy has appeared to stall in recent months. In the first quarter, Google’s search ads revenues rise about 24% to it and will continue to be strong, less direct or measurable ads such as display ads may be seeing more impact from the adservereconomy.

However, there is a need for web publishers to come up with new ideas or ways to increase the growth as well as to attract the advertisers that still spend 95% of their budgets in traditional media. Advertisers don’t see a better way to reach a lot of audience with image ads online. However, revenues are expected to increase in the following years, if advertisers invest in interactive advertising because it is the best method to reach many international audiences.

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