Reactions to the Interactive Advertising Bureau and PricewaterhouseCoopers 2009 Mid-Year Report

The industry is buzzing with the latest release of data from the IAB. LookSmart was a founding member of the Internet Advertising Bureau in 1996 and our CEO, Ted West, serves on the IAB Board of Directors, so I too was paying attention to these much anticipated results.

Not surprisingly, given the economic environment in the first half of 2009, Internet advertising in the US fell 5.3% from the same period in 2008. Meanwhile, search revenues were up slightly, totaling more than $5.1 billion for the first six months of 2009.

So what does this really mean for the search industry? It's hard to say for sure. The online advertising sector is still in the early stages of its inception, and this is the first recessionary cycle the industry has experienced. Ultimately, because there is no precedent, most predictions have to be chalked up to speculation.

The good news, however, is that even without an established precedent, the trend for search advertising appears positive, which is something LookSmart CEO Ted West discussed with Nathania Johnson at Search Engine Watch, following the release of the report. Search revenues are up slightly according to the report and, as Ted mentioned in the SEW post, "the stability of search points to the strength of adoption. When the recovery does occur, search will be a very strong beneficiary of that trend."

The IAB report ultimately left us all wondering, where do we go from here? In the coming weeks, LookSmart will be sharing our thoughts and ideas on this blog, and compiling tips and strategies for the search marketers and advertisers we work with, to help them make the most of their Q4 advertising budgets and upcoming holiday campaigns. Stay tuned for more updates.

Kaley Dobson
Marketing Manager