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Ignore online advertising at your peril

Online advertising spend increases 27.5% in the last year – fuelled by a surge in Facebook ad spend

Do you advertise online? Well if you don’t, there’s a good chance your competitors are stealing an unfair advantage.

This article in today’s Guardian discusses a 27.5% year-on-year surge in UK online display market – mostly attributed to Facebook – as advertisers leverage social media.

The article is based on the Internet Advertising Bureau’s annual report, compiled by PricewaterhouseCoopers. Headline figures include:

  • UK online display advertising = £945m
  • Total UK advertising spend = £4bn
  • £1 in every £4 spent by UK businesses on advertising is spent online
  • £100m spent on Facebook advertising (a 200% increase year-on-year)
  • Spend on video advertising doubled to £54m
  • Google Adwords accounts for 57% (previously 61%) of all online ad spend
  • UK Adwords spend across all suppliers increased year-on-year by 8% to £2.35bn

We’re managing a range of online advertising opportunities for some of our clients right now. As always, the outcome is highly measurable, and in parallel with organic search engine optimisation and social networking, we’re getting some great results. As we climb out of the recession I suspect we’re going to see online ad spend increase dramatically.

(Update: also worth mentioning, Facebook is on the verge of adding a web search feature. This means Facebook will be looking to have an even bigger slice of internet search…)


Simon Verrall

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