Interactive Advertising Drives Economic Growth and Innovation
New York, NY (September 27, 2007) The Interactive Advertising Bureau (IAB), the leading trade association for the interactive media industry, today reaffirmed the industry’s commitment to consumer privacy and the critical role that Interactive advertising plays in the U.S. economy and as the foundation for free online content. This statement is being released in support of key industry executives scheduled to appear on September 27, 2007, at the Senate Judiciary Committee hearing entitled “An Examination of the Google-DoubleClick Merger and the Online Advertising Industry: What Are the Risks for Competition and Privacy?”
“The interactive advertising industry is proud of its long-term commitment to the protection of consumer privacy and to the fundamental principles of relevancy, transparency and accountability that are the hallmarks of the industry,” stated Randall Rothenberg, President and CEO of the IAB. “Interactive advertising is a primary driver of innovation in the American economy and the principal pillar that supports the delivery of free, rich internet content, as well as free access to unparalleled products and services.”
The IAB, together with its members, some of whom are the leading online publishers, search engines and web portals have developed and promulgated privacy best practices that provide the consumer with notice and choice. As digital media consumption grows, the interactive industry will be increasingly responsive to consumers and devoted to protecting their privacy, while delivering new, innovative services that improve their lives. Industry self-regulation has played a significant part in defining the rules of the road and the IAB looks forward to helping ensure that consumers receive the richest, most relevant Internet experience, while protecting their privacy.
The 2006 IAB Internet Advertising Revenue Report, conducted by PricewaterhouseCoopers LLC, showed Internet advertising revenues reaching nearly $17 billion, a 35 percent increase over the same period from a year before. This surge continued an annual growth rate that has reached as high as 40 percent over the past three years. First half 2007 revenues continue to grow significantly and are estimated at close to $10 billion.
The Internet is the sole medium that can dynamically deliver relevant and useful messages to consumers. In fact, recent research by Booz Allen Hamilton and Yankelovich showed that 55 percent of consumers polled would pay extra to receive more personalized marketing. Interactive advertising is increasingly able to address this strong consumer interest in relevancy with the advent of effective targeting tools, while still protecting their privacy.
The IAB looks forward to working with its member companies and industry consumer groups to ensure that consumer privacy remains a priority for the industry while it continues to contribute to the U.S. economy.
About the IAB:
Founded in 1996, the Interactive Advertising Bureau (www.iab.net) represents over 300 leading interactive companies that actively engage in and support the sale of interactive advertising. IAB members are responsible for selling over 86% of online advertising in the United States. On behalf of its members, the IAB is dedicated to the continuing growth of the interactive advertising marketplace, of interactives share of total marketing spend, and of its members share of total marketing spend. The IAB evaluates and recommends standards and practices, fields interactive effectiveness research, and educates the advertising industry about interactive advertising.
IAB Media Contact:
Marla Nitke
Marketing Communications Director