In its most detailed study of online advertising growth yet, the IAB Europe has predicted that the industry will post a strong increase in spend next year, having suffered a brief slowdown in online advertising growth as a result of the global downturn.
The latest edition of the IAB Europe’s annual adEx Report, which is the first to base its forecasts on actual ad spend data from 19 European countries, finds that online advertising has continued to grow in 2009, although the 2.4 per cent increase will be substantially lower than the 20.2 per cent growth posted in 2008. Following this brief pause for breath, growth in online advertising will accelerate once more in 2010, it predicts, reaching a rate of 6.5 per cent.
While search advertising shows the strongest current growth, the report identifies online display advertising as an area with strong potential as a brand-building tool, and predicts increased growth in this area once advertisers’ confidence returns. New research has provided vital insights into how brand momentum builds ahead of the ‘last click’ and, together with the growing availability of behavioural targeting, such advances are likely to lead to a strong role for display in future online advertising growth.
The IAB similarly predicts increased importance for social media, in-game advertising and mobile campaigns, as advertisers and agencies begin to look beyond the tried and tested formats favoured in 2009.
IAB Europe’s summary of the report’s key findings
Find out how to target advertising campaigns using individuals’ online behaviour
