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Ad spending slows, study finds

Published on .

Spending for online advertising has slowed since summer, according to advertising research firm AdZone Interactive. The value of ad expenditures for November increased just 2.1 percent since October, the lowest increase this year. AdZone tracks advertising on 1,700 U.S. Web sites, which make up more than 95 percent of all U.S. Internet advertising revenue. In August, online advertising experienced its only decline in spending this year after jumping 21 percent the month before. Since then, expenditures rebounded but have grown at a much slower pace. The company believes advertisers continue to use the Web to reach their audience, but expenditures have hit a plateau, despite expectations that the fourth-quarter/holiday-shopping season would attract greater ad dollars. Lycos.com's MY LYCOS was the number one advertised brand, with estimated expenditures valued at $35.2 million. Amazon.com's spending was valued at $24.3 million and Barnes and Noble.com spent $19.4 million. AOL.com, Yahoo.com and ebay.com ranked as the top three sites by revenue. They took in an estimated $79.9, $53.6 and $35.2 million respectively.

Copyright December 2000, Crain Communications Inc.

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