Logging on as online ads grows 12.3pc
THE Irish online advertising market continues to grow, but still lags traditional media.
According to the latest online advertising survey from the Irish arm of the International Advertising Bureau (IAB Ireland) and PricewaterhouseCoopers (PwC), the online market grew by 12.3pc year-on-year during the first half of 2010.
Despite that growth, the online market is still dwarfed by more traditional forms of advertising. Newspaper and television advertising combined are more than five times the size of the €128m internet advertising market, according to the survey.
Irish marketers invested €53.9m in online advertising in the six months to the end of June, an increase of €4.7m on the second half of 2009.
The growing penetration of the internet helped drive the growth, with an estimated 3.4 million people online now, an increase of 11pc on the end of 2009. Household broadband connections increased by 5pc to 68pc of all internet users in 2010.
Significantly, people are spending an average of 19.4 hours on the web every month, an increase of nearly four hours year-on-year.
The auto industry drove the market, accounting for 22pc of all ads, while property and recruitment combined for a 19pc share.
PwC's Bartley O'Connor said the survey reinforced the growth seen anecdotally.
"The results of the study confirm the increasing popularity of the online channel as an advertising medium. In this difficult economic environment, online advertising continues to deliver strong growth," he said.
The global online ad market is expected to increase 12pc this year, while the Irish market will grow by 9pc.