Search advertising still makes up about 40 percent of all online ad revenues

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(Continued) The RFS Newsletter, Nov. 18, 2006. Page 6
"The Internet is now an integral part of doing business for US companies, large and small," says Ms. Phillips. "Virtually all, 98 percent of the 220 manufacturers surveyed by SVM e-Business Solutions have a Web site, and 87 percent have had one for over three years. More than half consider their website to be their most powerful marketing tool." While B2B online advertising only grew 5 percent last year, local newspapers and consumer magazines saw declines in B2B spending.

Network TV spending increased by 4.8 percent, to $1.49 billion and cable TV networks saw a healthy 15.9 percent growth rate, to $1.12 billion. So what online ad formats are the dollars shifting to? "Results for the first half of 2006, released by the Internet Advertising Bureau (IAB) and PricewaterhouseCoopers show that search advertising still makes up about 40 percent of all online ad revenues.

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