Findings from a PWC report for the IAB (Internet Advertising Bureau) found that online advertising spend in the UK had overtaken TV advertising spend for the first time.
Online has long been heralded as the future for, well, pretty much everything, advertising included. The online ad industry has been growingly steadily though many will be shocked that the balance of spending has tipped so quickly, and without warning, in the UK.
Economic conditions have undoubtedly played a part in hastening this event. The smaller, customisable nature of online advertising allows advertisers to stretch their budget further and be more targeted in their outreach of customers.
For example. The budget for one TV advert can be spread across a number of websites, to target either one specific demographic (for example mothers, by targeting baby and shopping websites). Whereas a TV ad will run to a limited schedule, perhaps twice an evening, or once a day, the online ad is permanent.
Online ad networks are pushing advertisers online too.
Using ad networks, companies can rotate their advert across a series of websites that cater to a particular audience demographic. Sophisticated networks can even recognise a visitor, see that he/she has read the advert already and instead provide an alternative ad to maintain their interest. This has given ad networks the opportunity to produce "serial" adverts, which run like a story (particularly effective when using video).
This news is a message that online is beginning to fulfill its potential in the West. As for Thailand, online advertising's share of the total revenue spent on advertising remains around 1.5%.
Thailand can blame a number of issues - including lack of widespread broadband, lack of widespread 3G, less mature consumer habits, language barrier issues, et al - but the fact remains that the day online overtakes TV ad spend is a far, far off...*if* it ever happens, that is.