Companies that have historically spent significant amounts on advertising, such as car manufacturers and telecommunications outfits, are stepping up their commitment to the Internet, according to a report from Nielsen/NetRatings.
Advertisers of business and consumer services, for instance, increased online ad spending by $100 million in the first quarter versus the year-ago period, the study found. That category, which includes financial services and telecommunications marketers, represented 58 percent of the $172 million rise in total online ad spending during the same period.
The auto industry allocated $57 million in Q1 2003 to Web advertising, up $30 million or nearly 91 percent from the same time a year ago. Close behind, the drug and remedies category upped year-over-year online ad spending by $26 million in the first quarter, according to Nielsen/NetRatings.
Meanwhile, the Internet ad budget for the travel, hotels and resorts sector and insurance and real estate industries grew by $15 million and $10 million, respectively. That is a nearly 16 percent increase over last year's first quarter for the former and a 29 percent boost for the latter.
The study also showed that consumer packaged-goods companies, such as Pepsico, Anheuser-Busch and Altria, are increasing their share of online advertising. For instance, CPG marketers share of total online ads on sports and recreation sites grew from nearly 4 percent in Q4 2002 to almost 6 percent in Q1.
Posted on aef.com: September 30, 2003
Ann M. Mack, Adweek. September 26, 2003
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