Report: Ad cutbacks failing to affect internet marketing
Spending on internet advertising rose during the third quarter while all other channels suffered significant cutbacks, new figures have shown.
According to the Bellwether report from the Institute of Practitioners in Advertising (IPA), the online medium was the only channel to see budgets rise rather than fall in the last three months.
Afflicted by the slowing economy, the overall ad sector posted its fourth successive quarter of budget cuts during the period, while cutbacks were at their highest level in the nine-year history of the survey.
This follows a recent Zenith Optimedia forecast suggesting that worldwide spending on internet advertising is currently growing at a rate of 23 per cent per year and will account for almost 14 per cent of total ad expenditure by 2010.
"The industry will be watching the next set of results with great interest hoping that, following four quarters of decline, the downward curve levels off, despite the impending recession," said IPA president Moray MacLennan.
