Online advertising slows in Europe

Dedicated server downward trend in ad spendEarlier this month I wrote about the decline of online ad revenues in the US; the Interactive Advertising Bureau released a report that online advertising revenues had declined by 5% in the first quarter of 2009 compared with 2008 (and an even worse 9.8% from the fourth quarter of 2008). Another report on online advertising was released, this time reflecting the industry in Europe. Robin Wauters may have said it best – The gist: growth in digital advertising significantly slowed down last year, especially in more mature markets, and the outlook for this year is grim (ref).

As mentioned previously, a decrease in digital advertising spending isn’t surprising considering the state of the global economy. Search is the leading format of digital advertising in Europe and accounts for nearly half of the online advertising in the 19 markets analyzed. With search engine advertising, it is typically easier to track, review, update, and justify – if I run campaigns targeting dedicated servers and managed dedicated server, I can easily compare the number of views, number of clicks, number of conversions, etc. and decide which campaign should be maintained, test different variations, and do it all ‘on demand’.

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