Search Spending Continues To Rise — But Contextual Is Lumped In

In the second quarter of this year, paid search advertising was nearly $1 billion — a 29 percent rise from the same period as a year ago. It also makes up 40 percent of
all online ad spending. This is according to new figures from the Interactive Advertising Burean and PricewaterhouseCoopers.

However, I’m fairly positive that contextual ads — which are NOT search advertising — are nonetheless lumped into these figures. That’s because I don’t see a separate
category for contextual. If this is the case, then the figures are misleading. They give no idea what’s really fueling the rise — more spending on search, more spending on
contextual or what???

More details from MediaPost here: Search Expands Role As Online’s Ad Engine. And Gary tells me when
the actual report is out for the public, you should be able to find it here.

Want to comment or read discussion of this topic? Please visit this thread in our forums: Online
Advertising Coming Back: Search Surging.

Postscript: The report is now available. The definitions DO include contextual ads as “contextual search” and part of search spending. That’s bad. On the upside, spending on “site optimization” IS included, so the figures aren’t purely on the advertising side of things.

More in PPC

View more
Industry

Amazon emerges as search advertising powerhouse

Amazon's search advertising business is on track to generate more than $10 billion in advertising revenues over the next year, according to their Q3 earnings report. What does that mean for Facebook and Google, and what does Amazon need to get right in order to succeed best?

PPC

Search advertising vs. display advertising: Which delivers the best returns?

Whether you're a newbie or a seasoned vet, determining if you should use search advertising or display advertising for your marketing campaign is tough. Use the wrong channel, and you risk ruining the maximum success of your whole campaign. Thankfully, there are ways to decide which is the best for your business and which will generate the most conversions.