Even uglier on the advertising front

By Joshua Benton /  Jan. 21, 2009  /  9:32 a.m.  

Remember Nick Denton’s doom-mongering predictions of a coming major decline in online advertising? And how the most optimistic point in the evidence he used to back his claim was, as our Zach Seward put it:

…that search advertising continues to grow, both in CPM (how much advertisers pay per thousand impressions) and share of online advertising.

In other words, the argument goes, banner ads and online classifieds may be headed south, but at least search advertising — the text ads that power the bottom line of Google and others — will be okay.

Well, along comes the Wall Street Journal with the bad news: Even search advertising was down eight percent in the fourth quarter of 2008.

This entry was written by Joshua Benton, posted on January 21, 2009 at 9:32 am, and tagged , , , , . Bookmark the permalink. Follow any comments here with the RSS feed for this post. Post a comment or leave a trackback.


One comment:

  1. Tim Windsor at 9:57 am, January 21, 2009

    There’s an even more detailed look, by industry category, on the average CPM. Which — no surprise — is down:

    All sizes of websites (small, medium, and large) were down dramatically from Q4 2007; small, medium, and large sites dropped 52%, 23%, and 54%, respectively, from the previous year.

    Sliced and diced here:

    http://www.masternewmedia.org/online-advertising-trends-the-pubmatic-adprice-index-q4-2008/

     

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