Internet spend outstripping newspapers in the UK…

Was on Newstalk doing the newspapers with Noreen Hegarty from the Sunday Tribune. This story (subs needed) came up in the discussion which notes that in the UK online advertising spend has outstripped that going into newspapers. It’s a challenge to big paper institutions to invest in the Internet, whilst they can still make a decent profit out of their premium content.Good news for bloggers? Maybe, but not in the short run. The big winners are Google who have a massive place in the UK online market:

Google made $1.6bn (£872m) in the UK last year – around 43% of the record £2.016bn ploughed into the medium by marketers.

This is a significant increase in Google’s share over 2005, when the company’s $878m (£483m) UK revenues meant it accounted for 35% of the total £1.36bn spent that year in the UK on online marketing.

In terms of the specific paid-for search market – which accounts for 57.8% of the total £2.016bn spent online in the UK in 2006 – Google is even more dominant.

Google’s revenue figures mean that it gobbled up 75% of the total £1.2bn spent on paid-for search in the UK.

For bloggers to leverage their small to medium sized readership they need to persuade advertisers to fish where the fish are.


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