Online Advertising Revenues for 2010 Set a New Record

04/18/2011

The newest Online Advertising Revenue Report by the Interactive Advertising Bureau (IAB) shows search marketing continues to hold its top position for online ad spending contribution in 2010, with 46.1% of US internet advertising dollars.

Total online advertising revenues for 2010 hit a whopping $26 billion, a new record and up 15% from 2090. In addition to a new yearly record, a new record was set for the Q4: $7.45 billion, a 19% increase from the same period prior year.

Display-Related Advertising

Display-related advertising represented 38% of total online advertising spend. Advertising formats for this category include:

• Digital Video Commercials
• Ad Banners/Display Ads
• Sponsorships
• Rich Media

The total for display-related advertising almost reached $10 billion, representing 24% growth from 2009.

Search Marketing

Mentioned previously, the IAB reported search marketing continues to be the most popular form of online advertising, carrying 46% of total revenue. This represents a 12% increase from the prior year.

Additional Key Findings

Other important findings from the IAB Internet Advertising Revenue Report include:

• Increase in performance-based pricing models, from 59 percent in 2009 to 62 percent in 2010
• Estimated US mobile ad revenue is $550 million to $650 million for 2010
• Revenues from the financial, automotive, media & entertainment industries remained mostly the same from '09 to '10
• Online advertising revenues from the telecom and tech/computing verticals decreased from 2009 to 2010
• Revenues from retail, packaged goods, leisure travel, pharma & healthcare increased year over
• This report marks five consecutive quarters of online advertising revenue growth