Advertisers in Europe raise '09 internet-ad budgets

23 Apr 2009

1

Despite the credit crunch, the internet is continuing to prove the medium of choice for more advertisers as they seek to maximise return on investment.

According to The European Interactive Advertising Association (EIAA) research released today, 70 per cent of advertisers claim that their allocated online ad spend is increasing in 2009.

online adWith this growth in the digital sector continuing, expected to grow by 21 per cent in 2010 and another 15 per cent in 2011, the online advertising medium is set to be a rising star for years to come.

The EIAA resear, Marketers' Internet Ad Barometer, was commissioned by the EIAA to provide the most up to date insight into how advertisers plan to change their strategies in 2009 and beyond. The research explores economic and commercial issues for marketers today and how they will evolve their use of interactive media to target their audiences.

The results reveal that online is playing an increasingly important role in overall advertising strategies with 47 per cent of advertisers now regarding online as an essential factor within the marketing mix, up from 38 per cent in 2008 and 17 per cent in 2006.

Budgets move from traditional media
Marketers continue to reallocate budget from traditional media to online, demonstrating the continued investment by marketers in the digital sector.

The research indicates that the increase in online ad spend is coming directly from TV (37 per cent of advertisers claim the increase in online ad spend has come from TV), newspapers (32 per cent) and increasingly, magazines (46 per cent).

This growth in digital demonstrates not only the accountability of the medium but also to the increasing value and time consumers are spending online (+28 per cent† growth in weekly internet use in 2008 compared with 2004).

Emerging Formats
Advertisers are increasingly recognising the value and impact of mobile advertising. The research found that advertisers who see online advertising as essential are increasing their mobile budgets significantly, showing that advertisers that have a heavy association with online and understand its benefits, are also at the forefront of emerging formats and innovation.

With almost a third of all advertisers (30 per cent) stating they use mobile within their advertising strategy and mass market user penetration of 87 per cent plus across Europe, the mobile advertising format is clearly set to become an increasingly effective platform.

The research also points to a move towards further investment and growth in particular formats such as online video advertising, with 35 per cent of advertisers stating this format is increasingly being used within their online strategies.

Alison Fennah, executive director of the EIAA said: ''With every media investment closely scrutinised by brands and a renewed focus on ROI, online comes into its own as the most effective way of providing accountability for marketers.

Market conditions are tough, yet online is continuing to innovate and emerging formats such as mobile advertising and online video advertising look set to become big players in the next few years as brands see the benefit of cross-platform marketing campaigns.''

Business History Videos

History of hovercraft Part 3...

Today I shall talk a bit more about the military plans for ...

By Kiron Kasbekar | Presenter: Kiron Kasbekar

History of hovercraft Part 2...

In this episode of our history of hovercraft, we shall exam...

By Kiron Kasbekar | Presenter: Kiron Kasbekar

History of Hovercraft Part 1...

If you’ve been a James Bond movie fan, you may recall seein...

By Kiron Kasbekar | Presenter: Kiron Kasbekar

History of Trams in India | ...

The video I am presenting to you is based on a script writt...

By Aniket Gupta | Presenter: Sheetal Gaikwad

view more