TOKYO: As elsewhere on Planet Earth, internet advertising has gone from strength to strength in Japan - the world's second largest economy and advertising market. The online medium notched a year-on-year expenditure increase of 29.3% in 2006, reaching ¥363 billion ($3.02bn; €2.3bn; £1.54bn).

Locally headquartered global agency network Dentsu predicts a decline in the rate of online advertising growth to around 20% during 2007, an increase that will nonetheless propel the medium into third position, past magazines and lagging only TV and newspapers.

Overall, however, 2006 was a static year for Nippon's advertising economy which edged up a meager 0.6% to just below ¥6 trillion, despite which it achieved a third consecutive year-on-year increase.

But among the four 'traditional' media (TV, newspapers, magazines and radio) adspend fell for the second year in succession to a collective ¥3.58 trillion.

Data sourced from The Asahi Shimbun (Japan); additional content by WARC staff