Monday, 5 October 2009

Online Advertising Outpaces TV

According to a recent study by the Internet Advertising Bureau and Pricewaterhouse Coopers, online ad spending was higher that that of TV advertising for the first time in a major economy. Advertisers in the UK spent £1.75bn online in the first 6 months of the year, representing a 4.6% increase over 2008. During the same period, TV advertising accounted for around £1.6bn or a 17% decrease.

Online advertising in the UK now represents 23.5% of ad budgets while while TV spending accounts for 21.9%.

While this is a pretty significant milestone, the shift still does not align ad spending with media consumption which has seen a major (and accelerating) realignment from TV to online. So while it's reassuring to see advertisers waking up to the opportunity - it's still a little half-hearted especially because I fear that this reallocation of ad spend is less about fishing where the fish are than a knee-jerk reaction to the recession...