Online video boom pushes internet ahead of TV in the UK advertising stakes

Advertising on the internet accounted for 27 per cent of the UK’s adspend in the first half of 2011, taking over from television advertising (26.1 per cent) for the first time since 2009 according to new figures from the Internet Advertising Bureau (IAB).

Internet advertising rose by 13.5 per cent in the period to hit £2.26bn ahead of television which rose 3.6 per cent to reach £2.16bn. Newspaper and magazine display advertising fell by five per cent to £1.37bn or 16.6 per cent. Classified press advertising accounted for 7.6 per cent of the market, down 14.1 per cent at £627.6m.

The total, £8.27bn, was up just 1.4 per cent on first half 2010 figures, suggesting a marked slowdown in UK advertising as a whole after a brief recovery in 2010.

In the online sector display was the strongest performer, up by 18.5 per cent although search still accounts for 58 per cent of revenues. Within display spending on online videos increased by 100 per cent as FMCG advertisers in particular discovered the delights of Facebook and Twitter. Separately Facebook announced an increase of 54 per cent increase in UK revenue yesterday.

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