Online ad spend hits 5.8% of total market

Q4 down due to holiday season

Online advertising spending in New Zealand hit $135.16 million in 2007, or 5.8% of the total advertising market, according to the Interactive Advertising Bureau (IAB).

This is the first full-year result for IAB's tracking, so year-on-year data is not available, however the IAB says comparative figures for the US are over 10% of the market and UK is cracking 15%.

Interactive advertising is the fifth largest advertising channel after newspapers (35.4%), TV (28%), radio (11.7%) and magazines (10.9%), says an IAB report released today.

Overall spending on Interactive advertising was lighter in the fourth quarter of 2007 than in the previous quarter. Q4, 2007 shows a decrease in overall spending to $37.85 million from the previous quarter’s total of $39.67 million.

The IAB says the market has traditionally reported lower expenditure in the first and fourth quarters of each calendar year, due to summer holidays.

Both display and classified declined on the Q3, however search and directories spending increased, with spending up 5.69%.

The overall spending mix in the quarter is similar to Q3. Display advertising was 37% of total spending with search and directories accounting for 21% and classified the remaining 42%.ull

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Tags advertisingspendingIABonline interactive

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