The Web is huge and growing rapidly

 

·        10 million Websites globally by the end of this year (Alexa International)

·        60% are publicly accessible (Online Computer Library Center, Inc.),

·        Amounts to over 7 billion pages of publicly indexed information (NEC Research Institute)

·        70% of those pages containing commercial content (eMarketer).

·        Number of advertiser-supported Web sites anywhere between 6,000 (Forrester) and 19,000 (Myers Group).

 

Web Advertising Revenues

 

·        Last year, Web ad spending topped $7 billion, representing nearly 3% of total ad spending in the US ($244 billion). 

·        Newspapers ($48.9 billion), broadcast TV ($45 billion) and direct mail ($42.5 billion) were the largest venues for advertising.

·        But Web spending grew by 97%, while total advertising grew by 7% overall and papers grew by 5%, TV by 7% and direct mail by 3%.

·        Triple-digit growth rates are over, but Web advertising is still strong and growing faster than traditional media. Should grow 7% this year and around 40% on average annually through 2005.

·        Media most likely affected in the long-run  will be newspapers and direct mail, and also Yellow Pages, and local/regional magazines.

·        A few key Web site categories grab most of the Web ad spending (Internet Advertising Bureau Q2, 2000):

 

                                                     Search sites and portals                          36%

                                                    Business/Finance                                            15%

                                                    Classified                                                                  12%

                                                   Technology                                                             11%

                                                   News/Info                                                               10%

 

 

·        Biggest Web ad spenders: (Internet Advertising Bureau Q3, 2000 and eMarketer 2001):

 

                                                  Consumer                                                                30%

                                                  Computing                                                                 18%

                                                  Financial Services                                               14%

                                                  Media/New Media                                              11%

                                                  Business Services                                             10%