Online ad spending nears $10B in 2007's first half

Aaccording to recent report from the Interactive Advertising Bureau, the online ad spending in the U.S. in first half of 2007 is slowed than the previous year, but, the market is still in the booming. Ad spending raised 26.4% to about $10 billion in the first half of 2007 compared to the same period in 2006. It has reached for the first time ever quarterly revenue of more than $5 billion, the IAB revealed on Oct 4th.

 "We have every reason to believe, based on torrid sequential growth quarter after quarter and year after year, that robust growth will continue," said David Doty, an IAB senior vice president.

Advertisers understand that they need to move their dollars to the Internet to reach their audiences. In terms of pricing models, performance deals, such as pay per click, accounted for 50% of spending in the first half, while impressions accounted for 45%. The rest were hybrid deals involving both pricing models.