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U.S. online ad revenues hit $3.9B in 1Q

2006-06-01 05:58:00

The U.S. online advertising industry saw yet another quarter of growth as revenues reached a record $3.9 billion in the January-March period.

That's a 38 percent increase from the same period last year and a 6 percent increase from the fourth quarter of 2005.

PricewaterhouseCoopers LLP conducted the study for the Interactive Advertising Bureau industry group.

"The steady growth of online advertising is a clear indication that marketers continue to believe in the opportunities and effectiveness that this medium delivers in reaching and engaging their consumers," Greg Stuart, the bureau's chief executive, said in a statement.

Still, Internet advertising represents a fraction of all U.S. advertising revenues — 5 percent last year, according to PricewaterhouseCoopers.

The quarterly report did not break advertising by type, but keyword search ads have consistently been the key driver.

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