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(Continued)     The RFS Newsletter, Nov. 26, 2005. Page 5
In other developments on Tuesday, a new study done by Forrester Research reveals that online advertising revenues continued to rapidly increase in the third quarter, surpassing US $3 billion for the first time in history and growing nearly 34 percent over the same time in 2004. In their quarterly report on Web marketing, the Interactive Advertising Bureau (IAB) and PricewaterhouseCoopers said sales totaled a record $3.1 billion for the quarter and predicted ad sales may top $12 billion for all of 2005. That would shatter the previous annual record of $9.6 billion set in 2004. "More and more marketers have embraced Interactive as an essential medium to reach and engage their consumers in more immersive brand experiences," said IAB President and CEO Greg Stuart. "Interactive advertising continues to prove itself as the most cost effective medium in driving sales and changing consumer attitudes."

The recent expansion of online advertising has helped propel Google into the Internet and stock market powerhouse that it is today and brought new attention to Web properties such as Yahoo and America Online. PricewaterhouseCoopers analyst Pete Petrusky said marketers like the fact that online, the gap between a marketing message and the desired action -- purchasing a product or service -- is narrower than in any other medium. He also noted that the double-digit growth rate is particularly impressive when the size of the advertising revenue base is taken into account.

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