U.S. online ad revenue up 26 pct in first quarter
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U.S. online advertising revenue grew  26 percent year on year to a record $4.9 billion in the first  quarter of 2007, according to the Interactive Advertising  Bureau (IAB) and PricewaterhouseCoopers (PwC).
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Internet advertising and access  spending by U.S. consumers will rise each year by double digits  on average through 2011, fuelled by high-speed connections and  social networking and entertainment sites, according to a  forecast released on Thursday.
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A January report by JPMorgan Chase said growing revenues from online advertising would in part lead to a great year for Internet stocks.
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Online ad spending in the U.S. grew 34% in 2006, continuing a years-long recovery after the dot-com crash.
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Online ad spending in the U.S. grew 34 percent in 2006, compared with 2005, as marketers continued expanding their use of the Internet to promote their products and services, according to a new study.
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Spending on Internet search ads is approaching $1 billon a quarter, representing $4 of every $10 spent on online advertisements, according to a report issued Monday by the Interactive Advertising Bureau and PricewaterhouseCoopers.
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Web search provider Google Inc., posting its first financial results as a public company, yesterday said its third-quarter earnings and revenues both more than doubled from a year ago on the strength of an online advertising boom that continues to gather steam.
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(InfoWorld) - Ensuring publisher transparency, increasing advertising quality, and embracing video are key to maintaining a strong U.S. online advertising market, where revenue grew 35 percent in 2006 over 2005, according to an Interactive Advertising Bureau official. Marketers spent almost $17 billion advertising on U.S. Web sites in 2006, the fourth straight year of expansion for this market, the IAB said in a report issued Wednesday. "A 35 percent year-on-year growth is fantastic. We're very pleased," said Sheryl Draizen, the IAB's senior vice president and general manager. But to continue the successful run, some things need to be improved, and opportunities must be seized, Draizen said. For example, too many marketers fail to test their online ads with the same stringency with which they test their ads for other media like television, radio, and print publications. This is a big mistake because testing online ad campaigns before launching them is critical to ensure they are effective. Marketers often ignore the characteristics of a good online ad, she said. Publishers also must make marketers increasingly aware that online advertising can help them throughout the entire sales process for their products and services. The Internet is a tool to build brand awareness and gauge buying intent as well as for actual purchasing and subsequent fostering of customer loyalty, Draizen said. As such, online advertising deserves a bigger slice of companies' overall marketing budgets, she said. As things stand now, companies spend less than they should in online advertising, which made up only 6 percent of the total ad revenue in 2006. "This is disproportionately low if you look at the total Internet audience and the amount of time people spend online," Draizen said. By comparison, marketers spent almost $58 billion in direct mail advertising and about $51.2 billion in newspaper ads in 2006. Ultimately, marketers tend to stick to strategies that have worked for them, and they consider shifting ad dollars to the online medium as a risk mostly because it represents a change in tactics, she said. However, with each passing year, online advertising is perceived as less and less of a gamble, she said. It's also critical for publishers to deliver "the highest level of transparency and accountability" so that advertisers' confidence will continue to grow, she said. On this topic, click fraud incidence is currently very low and isn't having an adverse effect in online ad spending, Draizen said. Other industry observers, however, say click-fraud incidence is significantly high and seriously hurts the effectiveness of search advertising. Click fraud occurs when someone clicks on a pay-per-click ad without any intent to do business with the advertiser. Reasons for engaging in click fraud include the desire of a site publisher to increase commission revenue or the attempt by an advertiser's competitor to drive up its ad spending. One of the biggest growth opportunities in online advertising this year and next year will be video ads, which offer marketers an ad format that packs the appeal of TV ads and the targeting precision of Internet ads, Draizen said. Some highlights of the study include: *Â Search engine advertising made up 40 percent of online ad revenue in 2006, ranking as the biggest segment of the market. *Â Display advertising, which includes both banner and rich-media ads, generated 32 percent of the total revenue. *Â The 10 largest ad-selling companies grabbed 69 percent of total revenue, and the top 50 companies nabbed 93 percent. *Â Ads billed per impression generated 48 percent of revenue, while those billed per a specific action, like a click, made up 47 percent.ADVERTISEMENTIBM Information On Demand 2006Industrial Industry Leaders, please join us at IBM's premier information management global event, IBM Information On Demand 2006, October 15-20, Anaheim, CA. More IBM business and technical solutions content in one place than ever before! Select from  over 800 sessions. Register today!
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NEW YORK : Internet advertising revenues in the United States surged 42.7 percent in the second quarter compared with the same period a year ago to 2.37 billion US dollars, an industry group said Monday.
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The company said it earned $256 million in the first quarter, tied to the performance of its Latin American business, and it raised its forecast for the year, sending shares up.
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Hewlett-Packard Co.'s first-quarter profit jumped 26 percent as the company benefited from higher sales of laptop computers, printers and printing supplies during a robust holiday spending season.
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Internet advertising revenues in the United States surged 42.7 percent in the second quarter compared with the same period a year ago to 2.37 billion dollars, an industry group revealed.
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Web search leader Google Inc. (GOOG.O: Quote, Profile, Research) , in its first earnings report as a publicly held company, on Thursday posted a higher net profit as revenue more than doubled on strong Web search advertising.
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NetSuite priced its initial public offering at $26 per share, raising $161 million for its online business software service.
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NEW YORK (Dow Jones)--Online-advertising revenue was a record $2.37 billion in the second quarter as the industry continued to push past the levels reached during the dot-com boom, according to a trade group.
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Hewlett-Packard Co.  said on Tuesday quarterly profit rose 26 percent, helped by strong performances in its printer and personal computing businesses.
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Hewlett-Packard 1Q Profit Up 26 Percent