Internet Ad Revenues Fall 5.3% in H109

October 6, 2009

This article is included in these additional categories:

Financial Services | Paid Search | Search Engine Optimization | Social Media

US internet advertising revenues were $10.9 billion during the first half of 2009, a 5.3% decline from $11.5 billion in the same period of 2008, according to the H109 Internet Advertising Revenue Report from the Interactive Advertising Bureau (IAB) and PricewaterhouseCoopers LLP (PwC).


Ad revenues for Q209 were approximately $5.4 billion, a decrease of 0.7% from the Q109 total of $5.5 billion, and a decrease of 5.4% from the Q208 total of $5.7 billion. the report said.


Search and display-related advertising continue to represent the largest percentages of overall interactive advertising spend, IAB said. Search revenues amounted to more than $5.1 billion for H109, up slightly from that same period in 2008. Search revenue accounted for 47% of 2009 second-quarter revenues, up from the 44% reported in Q208.


Display-related advertising – which includes display ads, rich media, digital video and sponsorship – totaled nearly $3.8 billion in during the same period, showing a relatively modest 1.1% decline from H108. Display advertising, the second largest format, accounted for 35% of second-quarter revenues.

Digital video continues to experience robust growth with a 38% increase from H108.

Randall Rothenberg, president and CEO of the IAB noted that interactive is one of the advertising sectors that has been least affected by one of the worst economic slumps in decades. “In recent years the digital revolution has driven a transformation of how consumers experience advertising and media,” he said. “As the economy improves, we’re confident that brands will devote an even greater share of their budgets to reaching consumers as they make interactive media a larger part of their lives.”

About the data: The report is compiled by PwC from industry data and a survey, and is sponsored by the IAB. The full report is issued twice yearly for full and half-year data, and top-line quarterly estimates are issued for the first and third quarters. Note: FH Pricing Models numbers have been restated based on additional data received after the IAB Internet Advertising Revenue Report covering the first six months and the second quarter of 2008 was published on October 7, 2008.

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