US Internet revenue for the first half of 2009 came in at $10.9 billion, down 5.3% from the same period in 2008, according to the IAB Internet Advertising Revenue Report published by the Interactive Advertising Bureau (IAB) and PricewaterhouseCoopers LLP (PwC).

Search and display-related advertising continue to represent the largest percentages of overall interactive advertising spending:

Other key findings:

  • Search revenues amounted to more than $5.1 billion for the first six months of 2009, up slightly from that same period in 2008.
  • Display-related advertising—which includes display ads, rich media, digital video, and sponsorship—totaled nearly $3.8 billion in the first six months of 2009, representing a modest 1.1% decline compared with the first half of 2008.
  • One bright spot: Digital video experienced robust growth, up 38% compared with 1H08.

"We are in one of the most difficult economic slumps in decades. Interactive is one of the advertising sectors that have been least affected," said Randall Rothenberg, president and CEO of the IAB. "In recent years the digital revolution has driven a transformation of how consumers experience advertising and media. As the economy improves, we're confident that brands will devote an even greater share of their budgets to reaching consumers as they make interactive media a larger part of their lives."

"While the overall advertising market has continued to be impacted by current economic conditions, marketers are allocating more of their dollars to digital media for its accountability and because consumers are spending more of their leisure time online," said David Silverman, PwC Assurance partner.

Additional findings:

Percentages of revenues by the top 10, top 25, and top 50 industries have remained consistent from the first half of 2008 to the first half of 2009:

The leading pricing model is the performance deal, followed closely by CPM-based pricing:


About the data: All cited data comes from the IAB Internet Advertising Revenue Report for the first half of 2009, published on October 5, 2009. The IAB sponsors the IAB Internet Advertising Revenue Report, the research for which is conducted independently by the New Media Group of PricewaterhouseCoopers. The data is compiled directly from information supplied by companies selling advertising on the Internet. The survey includes data concerning online advertising revenues from Web sites, commercial online services, free email providers, and all other companies selling online advertising. The full report is issued twice yearly for full and half-year data, and top-line quarterly estimates are issued for the first and third quarters. PwC does not audit the information and provides no opinion or other form of assurance with respect to the information.

A copy of the full report is available at:

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IAB/PwC: 1H09 Online Ad Revenues Fall 5.3%

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