Online advertising grew in 2009

Report shows online advertising grew 4.2 per cent last year, outperforming the overall UK market.

The report, published by the Internet Advertising Bureau (IAB) and PricewaterhouseCoopers, stated that although online advertising grew at a much lower rate than in 2008, it enjoyed an overall stronger second half due to demand for paid search and video ads.

The online ad expenditure grew to £3.5bn in 2009 in the UK. Online advertising was dominated by paid searches, which comprised 60.7 per cent, or £2.15bn of all online advertising spend. Online display ads however recorded a decline of 4.4 per cent, the report revealed.

The online display spend fell despite a 140 per cent increase in online video spend which is run before, after and sometimes during online video clips. Of the different categories, retail and consumer goods vendors became two of the biggest spenders in 2009, alongside telecom, entertainment and media, and consumer goods.