By: Ann M. Mack
(Adweek IQ) Internet advertising revenue in the third quarter rose 1% to $1.47 billion compared to the second quarter, according to a new report sponsored by the Interactive Advertising Bureau. The modest gain marks the first quarter of sequential growth in a year and a half for the online ad industry.
Compared to a year earlier, third-quarter revenue was down 18%. While significant, the decline is an improvement over the 22%, year-over-year drop in the second quarter. The results are a part of the latest Internet Ad Revenue Report, conducted by the New Media Group of PricewaterhouseCoopers.
The report also revealed that nine of the top 15 companies selling interactive advertising experienced year-over-year revenue growth, averaging 66% for the third quarter versus the same time a year ago.
“The return to positive growth in both online and offline media is a healthy sign for the overall advertising industry, but should be viewed cautiously, as we believe that the positive steps that are being taken are as much cost-driven as they are recovery oriented,” said Tom Hyland, chair of PricewaterhouseCoopers New Media Group. “Add to that the historically stronger performance of the fourth quarter, and it appears interactive advertising may end the year with two consecutive growth quarters.”