Online marketing expenditure up 21%

Category: Online marketing

October 7th 08, 09:47

UK marketers increased their spending on online ads by 21 per cent in the first six months of 2008, the Internet Advertising Bureau (IAB) has revealed.

In a joint report with PricewaterhouseCoopers, the organisation said that online now comprises 18.7 per cent of total ad spending - equivalent to £1.68 billion - in the UK, up four per cent compared with last year.

Search engine marketing spending rose by 28 per cent, while display advertising received a boost from increased interest in rich media formats such as video to see expenditure rise by 16.3 per cent.

Guy Phillipson, chief executive of the IAB, told Reuters that total spending for 2008 on the online medium could surpass the £3.2 billion mark.

He added: "Online is not immune from the economic downturn, but while other sectors see falls in expenditure the internet is still experiencing an incredible increase and is propping up the entire advertising market."

This comes after a survey by the European Interactive Advertising Association suggested that advertisers in Europe are looking to spend more on the internet in 2009 and 2010.

This news story was brought to you by Bluhalo, a leading UK digital agency.

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