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Web Notches Double-Digit Ad Gains

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NEW YORK The Internet recorded the largest advertising gains of any medium in the first nine months of the year, according to the latest figures from TNS Media Intelligence/CMR, with U.S. online ad expenditures increasing 25.8 percent from the year-ago period.

TNS Media Intelligence/CMR, the New York-based company that tracks ad spending in major media, reported that Web ad revenue was $5.6 billion from January to the end of September, up from $4.4 billion during the same time the year before. For the first half, TNS Media Intelligence/CMR reported that online ad spending reached $3.7 billion [IQ Daily Briefing, Aug. 24], putting Q3's number at $1.9 billion.

Total U.S. ad spending in the first half came in at $102.5 billion, a 10.3 percent rise from $92.9 billion in the first nine months of 2003. Steven Fredericks, president and CEO of TNS Media Intelligence/CMR, said, "Third-quarter spending for the Olympics and the political season elevated the volume of overall dollars brought into the advertising market."

Other media categories showing strong year-over-year ad spending growth in the first half included outdoor, national syndication television and cable TV, up 17.6 percent, 17.3 percent and 16.1 percent, respectively.

Also enjoying first-half boosts: network TV (14 percent), local magazines (10.3 percent), consumer magazines (10 percent), national newspapers (9.7 percent), spot TV (9.4 percent), Sunday magazines (8 percent), local newspapers (6.6 percent), Hispanic media (5.4 percent), freestanding inserts (4.7 percent), network radio (2.6 percent), local radio (1.9 percent) and business-to-business magazines (1.5 percent).

The lone category posting a decline was national spot radio, which was down 2.6 percent in ad revenue.