Internet ad revenues for 2010 up 15%

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The IAB Internet Advertising Revenue Report for the US puts all 2010 Internet ad revenues at a record $26 billion, up 15% from 2009. Q4 revenue also hit new highs at $7.45 billion, up 16% from Q4 2009 and 19% from Q3 2010. The most popular ad format in 2010 was search which represented 46% of revenue and saw 12% growth from last year.


Sponsorships saw the most growth with an 88% increase over last year and 142% increase in the fourth quarter alone. Display-related advertising — which includes Digital Video Commercials, Ad banners/display ads, sponsorships and rich media – continued to grow this year, totaling nearly $10 billion with an increase of 24% over 2009.

The annual report marks the debut of estimated US mobile ad revenue for 2010 between $550 and $650 million.

“As the latest IAB Internet Advertising Revenue Report amply demonstrates, brand advertisers and marketers have adopted the power of digital media as a central element of their campaigns,” said Randall Rothenberg, IAB CEO. “Consumers have shifted more of their time to digital media — watching television shows and movies online — and advertisers now accept this multifaceted medium as a key component for reaching their targets.”

The results from the full year in comparison with last year’s numbers:  

     

Full Year
2009

   

Full Year
2010

Revenue (Ad Formats)            
Search    

47%
(10,698)

   

46%
(12,004)

Classifieds and Directories    

10%
(2,254)

   

10%
(2,597)

Lead Generation     6% (1,451)     5% (1,339)
E-mail     1% (292)     1% (195)
             
Display-related            
Digital Video Commercials     4% (1,017)     5% (1,420)
Ad banners / display ads    

22%
(5,061)

   

24%
(6,230)

Sponsorships     2% (383)     3% (718)
Rich media     7% (1,505)     6% (1,538)
Total display-related    

35%
(7,965)

   

38%
(9,906)

             
Revenue (Pricing Models)            
Impression-based    

37%
(8,355)

   

33%
(8,589)

Performance-based    

59%
(13,412)

   

62%
(16,198)

Hybrid     4% (894)     5% (1,254)