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Internet advertising is big business

According to an Interactive Advertising Bureau official, revenue of US online advertising grew by 35% in 2006, over 2005. $17 billion worth of advertising was generated through US websites in 2006, the report said. The primary contributors were search engine and display advertising, generating 40% & 32% respectively, of revenue. The 10 largest ad-selling companies captured 69% of total revenue, but there’s scope for all. However, there is still room for improvement. For the amount of time people spend online, companies spend less than they should on online advertising – only 6% of overall ads spend. In contrast, marketers spent almost $58 billion in direct mail advertising and about $51.2 billion in newspaper ads in 2006. Surely not the way things should be.

4Ps Research bureau: Rohan Sachdev

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Source : IIPM Editorial, 2008

An IIPM and Professor Arindam Chaudhuri (Renowned Management Guru and Economist) Initiative

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