IAB report |
Web traffic | Internet User |Other trends
While Internet Advertising Bureau reported '99 advertising revenue,
it founded several trends.
- Revenue growth compares favorably to other industries-revenue are on pace to
increase more than twenty-fold, from $267 million reported in 1996 to more than $4 billion
- Consumer advertisers leading the charge-consumer brand advertisers represented the
largest category of advertiser spending at 32 percent of 1999 third-quarter revenues, up
from 27 percent reported a year ago.
- Banners and sponsorships remain the predominant advertising vehicles-ad banners
and sponsorships accounted for a combined 82 percent of 1999 third-quarter revenues,
down slightly from 183 percent reported for the same period a year ago.
- Internet advertising remains concentrated with leading publishers-the 25 and
50 leading publishers accounted for 84 percent and 87 percent of 1999 third quarter
Web Usage-Noontime, During the week
Although the amount of Web traffic is rapidly increasing, Web usage patterns remain
fairly stable. In a study, I'PRO found that daily traffic, which has a heavy business
user bias, is highest on weekdays, and that about 60% of all traffic occurs during
the nine-hour work day ( 9 am to 6 pm), as recorded by each server in its time zone;
the highest traffic level is around noon.
Contrary to some popular perceptions, Internet users are not young,
poverty-stricken nerds-in fact, the median Internet age has been placed by various studies
between 30 and 34. A.C. Nielson conducted a study that found only about one in ten Internet
users is under the age of 18. The study also showed that 64% of users college-educated,
that median income is about $60,000, with 25% above $80,000, and 50% hold professional or
In addition to this, Tom Hyland mentioned other trends.
- Key Trends-Consumer brand advertisers are now the largest category of spenders on the Web.
In the latest IAB Advertising Survey, consumer brand advertisers accounted for 32% of total ad revenue during the third quarter of 1997, up significantly from 17% reported in the first quarter of that yea.
- Use of non-banner advertising is rising.
While ad banners remain the predominant advertising vehicle on the Web-accounting for approximately 54% of total online advertising revenues-the increased use of contents sponsorships almost doubled during last year's second quarter, marking a shift towards more creative advertising on the Web.
- The growing presence of local advertisers and classifieds on the Web
According to the third quarter IAB report, approximately 12% of total advertising revenues of $227.1 million represented local advertisers, up from less than 5% reported in second quarter. Driving the growth of local advertising spending has been the use of online classifieds, directory listinings and local businesses advertising on local content Web sites.
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