August 29, 2011

Digital Media revenue growth percentage for First Half of 2011 exceeds Overall U.S. Ad Growth.

The Digital Place-based Advertising Association (DPAA) announced that growth rates for the industry sector remained strong during the first half of 2011, exceeding overall U.S. ad industry growth by a 5:1 margin.

Based on information collected by Miller, Kaplan, Arase from DPAA members and non-members, advertising revenue for the digital place-based sector grew by 16.1% for the first six months of 2011 over the same period last year, slightly more than five times the 3.2% growth rate for the U.S. ad industry overall, as reported recently by Kantar Media. Among all media types, growth for digital place-based was second only to that of syndication, which recorded an 18.5% gain.

Digital place-based media's strong showing during the first half of 2011 follows a 25% growth rate for the sector – to an estimated $1.1 billion – in 2010.

"In an economic environment where every single ad dollar must work double-time, digital place-based is emerging as a highly desired media choice because of its ability to engage consumers on the go," said Mike DiFranza, president of Captivate Network and DPAA chairman. "More and more advertisers recognize digital place-based as a highly effective medium that connects with the consumer who cannot easily be reached with television."

Susan Danaher, president of the DPAA, said, "In today's increasingly digitally convergent marketplace, context matters more than ever. We are currently engaged in a tour among agencies and clients focusing on unlocking the opportunities for brands to reach consumers at the right time, the right place and in the right mindset to receive commercial messages. The extremely positive reception we are receiving at our presentations speaks to the competitive contextual advantage that digital place-based media has over many other traditional forms and is at the root of the growth levels the sector enjoys."

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