IAB predicts online ad spend to reach 500m [pounds sterling] by end of the year

New Media Age, October, 2004 by Susie Harwood

Advertisers' online spend is on course to breach the 500m [pounds sterling] mark by year end, according to figures from the UK's Interactive Advertising Bureau (IAB) and PricewaterhouseCoopers.

The new figures show that Internet ad spend rose 76% year on year in the first half of 2004, to 266.8m [pounds sterling].

This gives it a market share of 3.2%. narrowing the gap with radio to just 0.5% and indicating that the sector will comfortably beat its target of overtaking radio by February 2007. Radio is seen as the next major milestone for online, after overtaking cinema last year.

IAB chief executive Danny Meadows-Klue said, "If the growth continues at such a fast pace in the second half of the year, we could overtake radio this year. Radio has...