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Internet advertising records uptick

ONLINE advertising is showing an upward trend after falling for more than a year. Online advertising on the web pages of members of the Association of Internet Media (AIM) amounted to €5.41 million for the third quarter of 2010. Though this was a 7.1-percent drop compared with the second quarter of 2010 it represented an increase of 6.6 percent compared with the third quarter of 2009.

ONLINE advertising is showing an upward trend after falling for more than a year. Online advertising on the web pages of members of the Association of Internet Media (AIM) amounted to €5.41 million for the third quarter of 2010. Though this was a 7.1-percent drop compared with the second quarter of 2010 it represented an increase of 6.6 percent compared with the third quarter of 2009.

“After five quarters the volume of online advertising started to grow again,” Milan Csaplár, AIM executive board chief wrote in a press release. “For the market it is a positive signal and I believe that the growth will continue also in the next quarters.”

With regards to the types of online advertising, banner advertising continued to dominate. But for the first time this type of advertising fell below its traditional more-than-half share and stood at 49.1 percent (€2.66 million) in the third quarter of 2010. Classifieds ads followed with 22.3 percent (€1.2 million) and search ads were slightly less, with 17.8 percent (€965,000).

Compared with the third quarter of 2009, the biggest growth was registered in the lead-generation segment, recording a jump of 652 percent.

In terms of the source of the advertising for banner ads and rich media, i.e. internet advertising that contains animation, audio, flashing colours, and other enhancements, the telecommunications industry accounted for 23.3 percent, followed by the automotive sector with 13.1 percent, and various other services with 11.3 percent. The latter included, for example, political advertising and advertising for education, according to AIM. The figures presented were for media-net value advertised on the websites of AIM members, meaning that the values included commissions by advertising and media agencies.

Beginning in 2011 available data about online advertising will be more extensive as AIM will begin releasing quarterly data on online advertising revenues of servers that are not AIM members and foreign servers operating in Slovakia, for example Google and Facebook.



Overall ad decline in 2009



Online advertising on the websites of AIM members amounted to €23.3 million in 2009, a drop of 5.4 percent compared with 2008. This was the first annual drop since 2004 when AIM began monitoring online advertising revenues.

The final quarter of 2009 was responsible for much of the annual decline as online advertising decreased by as much as 20 percent in the October-December 2009 period compared with the same months of 2008, AIM reported.

Advertising spending in all forms of media shrank by as much as 35.3 percent over 2009, to €1.1 billion, according to data published in June 2010 by TNS SK, a firm active in market research.

Based on its analysis, revenue from advertising on television experienced a significant decline after official rates were decreased.

The drop in advertising spending among other media was not as steep. Print-based advertising decreased only moderately and outdoor advertising was unchanged.

Advertising in cinemas and on radio increased.


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