2010 Uk Classified Advertising Trends And Classified Marketplace

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In 2008, UK expenditure on Internet advertising was valued at 3.35bn. The Internet is the UK's fastest-growing advertising medium and, in the first half of 2009, the UK became the first major European market in which online advertising expenditure exceeded television advertising expenditure. The UK advertising market in general is being affected by the recession and revenues from other advertising media, including television, radio, newspapers, magazines and outdoor, are forecast to decline in 2010.

Although it is still important, television no longer monopolizes the media schedule as it did in the past. Marketers have realized that digital promotion, including Internet advertising, is an inexpensive and effective way of building their brands. This trend has been prompted by a fundamental change in consumer behavior due to the rise of the Internet and media fragmentation.

Search marketing remains the largest single format within the Internet advertising mix. It has become a staple on the media schedule and is increasingly integrated into traditional and online advertising campaigns. The second-largest sector of the Internet advertising market is classified advertising, expenditure on which now exceeds that on display advertising. Solus e-mail advertising is now a very minor sector of the market.
One controversial area of Internet advertising is behavioral advertising, which works by constantly analyzing customers' Web surfing activity to determine their interests. The technology then delivers targeted advertising to users when they visit certain websites. In April 2009, the European Commission opened infringement proceedings against the UK as a result of concerns about the UK's implementation of EU ePrivacy and personal data-protection rules. The Office of Fair Trading (OFT) has also begun an investigation into potentially misleading advertising on the Internet.

Original research for this report found that 97.3% of British Internet users now access the Internet at home. The survey also revealed that 96.3% of those who had used the Internet in the previous 12 months usually accessed the Internet using a broadband connection. Online shopping continues to increase in popularity, with 86.4% of the Internet users in Key Note's survey having shopped online. Concern about fraudulent card use, though still evident, appears to be in decline as a barrier to online transactions.
Key Note forecasts that expenditure on Internet advertising in the UK will continue to rise in 2009, although the rate of growth will be considerably lower than in previous years, as a result of the recession. Thereafter, Key Note projects that expenditure on online advertising will rise more rapidly, in line with the increasing popularity and use of the Internet.

Three year outlook: trends though 2012
Here are ten key trends we've been tracking, that we continue to be critical drivers for online advertising growth and the migration of marketing throughout our medium term forecast:
1.Search swells further :In spite of the massive size already, the switch to search engine marketing continues, with high emphasis on both paid-for clicks and position in natural search results
2.Video and television migrate: A rapid increase in the volume of video content online as key demographic groups migrate to web-based viewing rather than traditional television; within this mobile will play a significant role as new generation handsets roll out.
3.Smarter social media marketing: Strong migration away from classic advertising to smarter and more engaging social media formats from branded content to sponsorships and social applications
4.Mobile web arrives (and this time it's for real!):After the false promises of WAP, mobile portals and first generation mobile broadband, the new generation phones and apps stores finally unlock the long awaited step-change in the use of mobile content, mobile web, mobile social media and geo-location based advertising
5.Affiliates evolve: Individuals becoming affiliates within expanded affiliate and social networks
6.Ad-effectiveness falls: Continued erosion in advertising effectiveness as consumers become even more adept at ad avoidance
7.Retail consolidation and structural change: The natural consolidation of a cluttered retail market with fewer, more globalised stores and strategies
8.Classified migration: Completion of the migration process to a stable level where 85% of classified volumes are web-based
9.Analytics-driven pricing: Widespread adoption of more effective trading mechanisms based on the real and long term value of leads
10.Auction based trading and transparent pricing models: The structural change triggered by Google's self-service and auction models will finally spill over into the wider online media market, with highly transparent pricing and a critical mass of auction-based trading platforms

This page provides information about the usage of the Classified Ads project, including summaries across all versions and details for each release. For each week beginning on the given date the figures show the number of sites that reported they are using a given version of the project.

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