The quarter was the biggest for online ad spending in two years, according to researchers' estimates.
Internet ad revenue in the third quarter of 2003 came in at $1.75 billion, a 5 percent increase over the second quarter and a 20 percent rise over the same period a year ago, according to estimates from PricewaterhouseCoopers (PwC).
The latest PwC quarterly report, sponsored by the Interactive Advertising Bureau (IAB), found the numbers mark the highest total revenues reported since Q3 2001 ($1.77 billion). If the estimates bear out, the results would also mark the fourth consecutive quarter in which revenues have increased.
PwC estimated the third quarter revenue figure by surveying and aggregating 2003 3Q data from the top 15 online ad sellers. Results were then extrapolated to calculate the total estimated industry revenue figure. Actual third quarter results will be reported in early 2004, along with fourth quarter revenues.
"We believe the fundamentals of interactive advertising will further drive industry revenues higher. The 5 percent quarter-over-quarter growth further demonstrates that the basic foundations of interactive advertising are built on a solid business model," said Tom Hyland, partner and chair of PwC's New Media Group.
The revenue increase suggests a continuation of the online ad sector's good tidings in a year that has seen burgeoning spending in the paid search and rich media categories.
"A 20 percent year-over-year growth increase speaks for itself. Clearly, the Internet is proving itself a fertile marketplace attracting advertisers and marketers across the board," said IAB president and CEO Greg Stuart.
The IAB started the "Advertising Revenue Report" in 1996. It incorporates data from all companies reporting "meaningful" online ad revenues. Types of companies surveyed include Web sites, commercial online services, free email providers, and others selling online advertising. First and third quarter revenue reports are estimates, with the actual figures being released along with the next quarter's data.
Twitter Canada MD Kirstine Stewart to Keynote Toronto
ClickZ Live Toronto (May 14-16) is a new event addressing the rapidly changing landscape that digital marketers face. The agenda focuses on customer engagement and attaining maximum ROI through online marketing efforts across paid, owned & earned media. Register now and save!
Until March 2012, Zach Rodgers was managing editor of ClickZ's award-winning coverage of news and trends in digital marketing. He reported on the rise of web companies, data markets, ad technologies, and government Internet policy, among other subjects.
9 Strategies to Engage Your Consumers
Online marketing apps are highly engaging - taking visitors on short, but effective, conversion-focused journeys. This white paper illustrates 9 strategies to engaging consumers through app-like experiences.
Redefining 'Mobile-Only' Users: Millions Selectively Avoid the Desktop
A new breed of selective mobile-only consumers has emerged. What are the demos of these users and how and where can marketers reach them?
March 19, 2014