A Future for E-Advertising

12/11/2001

online advertising generated $1.79 billion, representing a 4.1% decline from the $1.87 billion generated in Q2

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The IAB's quarterly survey is conducted by PricewaterhouseCoopers' (PwC) New Media Group. Though the consumer-targeted industry's claim on total e-ad revenue declined from 30% to 29% between Q2 and Q3, it still maintains the largest share of the market over any other economic segment advertising online.

eMarketer predicts that the online ad market will generate $1.8 billion in revenue in Q4, resulting in total year revenue of $7.3 billion, and representing an 11% year-over-year decline versus fiscal year 2000. Note that eMarketer is now benchmarking its online revenue projections against the quarterly IAB/PwC surveys. Based on the survey results for Q1 through Q3 2001 of $5.55 billion, eMarketer's projection of $7.3 billion for the full year seems on target.

eMarketer believes US e-ad revenue will rise by 11% in 2002, returning them to the $8 billion level achieved in 2000. Merrill Lynch predicts that signs of improvement will emerge by mid-2002 and a survey among marketing executives by the Myers Group suggests it will likely revive by late-2002 or early-2003. The advertising market typically picks up six months after the overall economy begins to turn around.

For more information on Internet marketing visit WebMetro: Online Marketing

Source of Article: eMarketer

Date of Article: December 10, 2001