13 Oct 10

UK online adspend rises 10%

IAB UK publishes H1 2010 results

Read the full IAB article and download the report at iabuk.net

The IAB UK has released figures for online advertising growth during the first half of 2010. Key points:

1. Online spend was up 10% YoY in H1 2010 to £2billion (slightly ahead of total ad spend up 6.3% YoY in H1 2010),

2. Paid search increased 8.9% YoY accounting for 60% of total online ad spend,

3. Display grew 6.4% YoY, and now represents 19.3% share of online spend;

4. Pre-roll video advertising grew 82% YoY to £21m - up 5x in two years

5. The top spending verticals were Entertainment (14.4% share - up from 13.9% in H1 2009), Finance at 13.3%, (down from 14.9%), FMCG at 11.8% (up from 9.4%)

The UK online ad market is argued to be the most penetrated in the world, currently standing at 24% of total ad spend, so it is natural we are now starting to experience decelerating growth versus previous years.