Wednesday, 4.00 5.00pm Improving Online Ad Effectiveness Research MODERATOR: Simon Booth, Technical Director, Tangozebra PANELISTS: Nick King, Director of Research, Diffiniti Laurence Bour, Head of Research, Internet Advertising Bureau Simon Falconer, Strategic Planner, Guardian Unlimited
IAB UK Online Ad Spend Study Results for the full year 2005 Prepared by PricewaterhouseCoopers for the IAB
Background Census of all major UK online media owners Official Advertising Association figures since 1997 Information collected each half year Analysis available by Format Industry category Source: IAB/PricewaterhouseCoopers
1,366.4m market in 2005 Source: IAB/PricewaterhouseCoopers
2005 vs 2004 65.6% increase An increase of 541.3m on comparable full year results Source: IAB/PricewaterhouseCoopers
Market share nears 8% Full year 2005 Internet 7.8% 6.4% 3.5% 0.9% TV 5.1% Press - Display 23.5% Press - Classified Direct Mail Internet Directories Outdoor Radio Cinema 13.6% 21.2% 17.8% Source: PricewaterhouseCoopers / Internet Advertising Bureau / The Advertising Association / Radio Advertising Bureau / WARC
Online drives the whole market 65.6% Total advertising market growth = 2.5% 3.6% 5.8% -5.1% -4.2% -3.9% -2.1% -1.0% Press Classified Radio Direct Mail Cinema Press Display TV Outdoor Internet Source: PricewaterhouseCoopers / Internet Advertising Bureau, The Advertising Association / WARC
The digital media mix The developing mix of ad products
The digital media mix % share of revenues for the full year 2005 24.6% Display Classifieds Paid for search 56.2% 19.2% Full year total 1,366.4m IAB estimates for actual ad spend by format are based on samples of categorised revenue from key IAB members provided by PwC. Data excludes unclassified figures. Source: PricewaterhouseCoopers / Internet Advertising Bureau / WARC
The digital media mix All formats have experienced actual growth, especially paid-for search listings Paid for search listings Banners / Embedded Recruitment classifieds Further classifieds Tenancies Sponsorships Interruptive formats Other display Display ads on email 55.6 14.3 20.5 36.7 15.7 13.7 10.7 1.2 8.8 3.6 80.3 40.3 224.4 164.5 182.0 121.1 429.6 IAB estimates for actual ad spend by format are based on samples of categorised revenue from key IAB members provided by PwC. Data excludes unclassified figures. Source: PricewaterhouseCoopers / Internet Advertising Bureau / WARC 2005 2004 768.3
Industry categories
Recruitment lead the market in the second half of 2005 Recruitment Finance 17.4% 22.1% Automotive Entertainment & Media 10.2% 12.4% Travel & Transport 10.1% Technology 6.9% Telecoms 6.1% Consumer goods Business & Industrial Retail Gardening & Agriculture 1.3% 2.8% 2.7% 4.9% Recruitment & Finance continue to dominate the online advertising market Property 1.2% Govt & other organisations Other 1.2% 0.7% IAB estimates for actual ad spend by industry are based on samples of categorised net revenue from key IAB members provided by PwC. The ranking now shows Telecoms as a separate category (previously included in Business & Industrial). Data excludes unclassified figures and covers 55% of online revenues in H2 2005. Source: PricewaterhouseCoopers / Internet Advertising Bureau / WARC
Automotive and Entertainment & Media are catching up with the perennial leaders Recruitment Finance Automotive Entertainment & Media Travel & Transport Technology Telecoms 6.2% 6.9% 6.1% 12.4% 10.5% 10.2% 10.1% 11.2% 9.3% 17.4% 22.1% 21.6% 24.0% Consumer goods Business & Industrial Retail Gardening & Agriculture Property Govt & other organisations Other 4.9% 5.7% 2.8% 4.2% 2.7% 3.5% 1.3% 0.2% 1.2% 1.5% 1.2% 0.7% 0.7% 1.4% H2 2005 H2 2004 IAB estimates for actual ad spend by industry are based on samples of categorised net revenue from key IAB members provided by PwC. The ranking now shows Telecoms as a separate category (previously included in Business & Industrial).Data excludes unclassified figures and covers 55% of online revenues in H2 2005. Source: PricewaterhouseCoopers / Internet Advertising Bureau / WARC
The next milestone 2 billion A real possibility within next 12 months This would make online bigger than national press
Branding studies * skyscraper * * mpu * * banner * User 1 * banner * User 2 User 3 * No exposure *
Branding studies * mpu * * skyscraper * * survey * * banner * User 1 Exposed User 2 Exposed * banner * * survey * User 3 Control * No exposure * * survey *
Branding studies Metrics gathered Spontaneous awareness Prompted awareness Advertising awareness Message association Brand favourability Brand perception
Branding studies Metrics gathered Spontaneous awareness
Branding studies Metrics gathered Spontaneous awareness Prompted awareness
Branding studies Metrics gathered Spontaneous awareness Prompted awareness Advertising awareness
Branding studies Metrics gathered Spontaneous awareness Prompted awareness Advertising awareness Message association
Branding studies Metrics gathered Spontaneous awareness Prompted awareness Advertising awareness Message association Brand favourability
Branding studies Metrics gathered Spontaneous awareness Prompted awareness Advertising awareness Message association Brand favourability Brand perception
Branding studies Metrics gathered Spontaneous awareness Prompted awareness Advertising awareness Message association Brand favourability Brand perception Demographics
Branding studies Metrics gathered Spontaneous awareness Prompted awareness Advertising awareness Message association Brand favourability Brand perception Demographics
Branding studies Breakdowns: Demographic segments Sites Creatives Interactions
Planning Quantity Client expectation Relationships Implementation Scope
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