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Online Spend Set To Pass Magazines And Radio

Updated: Feb 11, 2019


Of the nine major advertising categories, online or "interactive" was the only one to enjoy growth during 2009, according to Advertising Standards Authority (ASA) figures released today.
The total advertising market plunged to $2.04 billion in 2009, a $272 million or 12% drop over 2008's total ad spend of $2.32 billion. But online ads bucked the trend, increasing $21 million or 10.5% year-on-year to $193 million (see table below).

The surging online category finished the year just a whisker behind magazines. This year, online will "absolutely" pass magazines, Interactive Advertising Bureau (IAB) chairman Michael Gregg told NBR. It's also highly likely that online will pass radio this year, said Mr Gregg.

While online booms, radio has been flat. "The ball's in their court, but I don't see radio doing anything innovative," said Mr Gregg.

The IAB (not to be confused with the Internet Bureau) represents a raft of major publishers, whom it surveys through a series of quarterly reports audited by PriceWaterhouseCoopers.

Internet ad spend returns to pre-recession levels Mr Gregg said anecdotal evidence indicates that online advertising has returned to pre-recession levels during the first quarter of 2010.

From his day job as Advertising Director at TradeMe - where display advertising boomed 40% year-on-year during January and February to clock record growth for the Fairfax-owned site - plus talking to other publishers, Mr Gregg estimates that online will grow at least 20% during the first quarter (final figures will be released in April).

"The recession is well and truly over," said Mr Gregg - but only for online.

"There has been a structural shift and more and more money moving out of other media to online.

National Business Review

By Chris Keall | Wednesday March 17, 2010

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