Internet Advertising Revenue To "Fall Off A Cliff" in 2009? My ...

Last night ITV news said there was a severe slow down in high street spending. Actual spending in October in the UK was down 0.1%, not the 1% feared by many.

Now I rate Venturebeat very highly, in fact I think its exceptional. But they yesterday stated that slowdown in internet advertising in Q3 as "sobering". I just don't see it myself. I prefer the IAB's take as it has "stabilized"!


Many in the industry see that if online ad spending isn't growing exponentially every quarter then its something to be worried about. Every form of marketing spend goes through spirts of growth and then the rate of growth slows - its nothing new.

The interesting element of the debate comes down to the "fact" that internet advertising is often more accountable than its offline alternatives and as more and more marketing departments become savvy to this I'm sure we'll continue to see more and more budgets shift online (I'm sounding like we're back in 2000!). And TV ad spend is the one that's tanking according to the Guardian.

And then there's the different forms of online marketing and the budget allocations divided between display, SEM, SEO, Affiliate, Social will shift throughout the next couple of years no doubt!

It seems that the media are obsessed with negativity at the moment. If you're a journo then you are just not allowed to say anything positive. Any data that is inconclusive HAS to be shown in a negative light by the media as that's what they think people want to hear - I strongly suggest that isn't the case.

I think they underestimate the attraction of online marketing and the savvyness of marketing departments to know that online is more accountable and efficient than most other forms of marketing.

PWC has it spot on:

David Silverman, a partner at PricewaterhouseCoopers LLP, added that, “a weakening economy will continue to be a challenge to all forms of advertising-supported media. However, the Internet should be better poised to withstand the storm given its ability to combine performance-based advertising along with broad-based branding.” Source: PR IAB Nov 20, 2008.