Internet Advertising Effectiveness

What did we learn and where are we going?

Laurent Flores
Vice-President, Division Director, Ipsos-ASI Interactive, United States.

INTRODUCTION

Over the years and since its birth in early 1994, the online advertising industry has grown and changed and continues to change every day. According to a recent projection from Jupiter Communications,

'the global online ad spending is poised to grow from $7 billion in 2000 to almost $28 billion by 2005. Online ad spending will represent almost 6% of total advertising expenditures in 2005, up from 1.9% in 2000'.

However, although the medium continues to enjoy dramatic growth, advertisers still have some concerns about the real effectiveness of online advertising. Recent publications (Association of National Advertisers, Ad Tech Conference May 2000, Bush and Harris, 1998) continue to show that the number one barrier to online advertising continues to be no proof of ROI or other measure of effectiveness. With involvement in the online advertising evaluation for over five years, we believe it will benefit the industry to consider online advertising as a medium with real upside potential in terms of branding. As the first research contribution from the IAB stated in 1997, we strongly believe that there is much more to online advertising than just click-through.