Happy Days Here Again: Online Ad Revenue Back to Breaking Records


money_small.jpgADOTAS – When thinking of 2009, it’s difficult for online ad industry people to hang their heads in shame. But the rough patch appears to be over and the revenue mill is spinning again at increasing speeds.

According to the Interactive Advertising Bureau, Internet ad revenue was up 11.3% year over year for the first half of 2010, coming in at $12.1 billion. Second quarter alone accounted for $6.2 billion, a 4.1% increase over first quarter and 13.9% leap year over year.

Display was the comeback kid, with revenue rebounding 16% year over year to come home at $4.4 billion in 1H10 and make up 36% of ad revenue (up from 34% the previous year). Digital video is the real up-and-comer, with 31% growth to $627 million and 5% of the revenue pie. But search is still on top with $5.7 billion in revenue, up 11.9% year over year, and 47% of total online ad revenue.

IAB is projecting that full-year 2010 will top current high-water mark $23.4 billion, which the industry hit in 2008. 1H08 came in at $11.5 billion compared to 1H10’s $12.1. Last year — the sad days — online ad revenue fell to around $21.7 billion.


  1. Happy Days? Most of that money is going to GOOG/MSFT/YHOO now? Search and display? How much of that is not going to the big 3? Publisher TAC is at an all-time low, so it’s getting trapped somewhere. Probably in Marisa Mayer’s pants.


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