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From...
Computerworld

Net ads growing quickly

May 6, 1999
Web posted at: 2:47 p.m. EDT (1847 GMT)

by Kathleen Ohlson

(IDG) -- Despite its infancy, the Internet is proving to be where it's at for advertising to reach consumers.

Internet advertising garnered $1.92 billion in revenue last year, outgunning a more traditional ad category -- outdoor advertising, with an estimated $1.58 billion, according to a report by the Internet Advertising Bureau (IAB). Outdoor ads are generally billboards.

Online advertising revenue last year grew 112% over 1997's $906.5 million total, the IAB said. For the fourth quarter of last year, revenue jumped up to $655.6 million, a 34% increase over the same quarter in 1997, said the New York-based online advertising association.

According to the report, consumer-related advertising lead the pack in online spending (29%), followed by computing (20%), financial services (19%), telecommunications (8%) and new media (7%), the IAB said. Banner ads are the most predominate with a 56% share, and sponsorships are in the second slot with 30%, the report said.

The report is conducted by the New Media Group at PricewaterhouseCoopers for the IAB and issued quarterly. Data is tallied from more than 200 companies representing more than 1,200 Web sites.


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