Business-To-Business Advertisers Rush To The Internet; New AdRelevance Report Examines Rapid Growth of B2B Ads As Businesses Advertise Their Presence Online.Business Editors/High Tech Writers SEATTLE--(BUSINESS WIRE)--March 20, 2000 With business-to-business You can assist by [ editing it] now. e-commerce e-commerce, commerce conducted over the Internet, most often via the World Wide Web. E-commerce can apply to purchases made through the Web or to business-to-business activities such as inventory transfers. outpacing business-to-consumer Business-to-consumer (B2C), describes activities of commercial organizations serving the end consumer with products and/or services. It is usually applied exclusively to electronic commerce. transactions on the Internet Internet Publicly accessible computer network connecting many smaller networks from around the world. It grew out of a U.S. Defense Department program called ARPANET (Advanced Research Projects Agency Network), established in 1969 with connections between computers at the , it's it's 1. Contraction of it is. 2. Contraction of it has. See Usage Note at its. it's it is or it has it's be ~have no surprise that online advertising has begun to show a decidedly B2B (Business to Business) Refers to one business communicating with or selling to another. See B2B e-commerce, B2C and B2G. B2B - business to business bias. In fact, the growth in online advertising by B2B companies has outstripped all other industries for the last four months, according to according to prep. 1. As stated or indicated by; on the authority of: according to historians. 2. In keeping with: according to instructions. 3. the latest findings from AdRelevance from Media Metrix (Nasdaq:MMXI MMXI Media Metrix ), an innovator in Internet advertising Delivering ads to Internet users via Web sites, e-mail, ad-supported software and Internet-enabled cellphones. Also called an "ad network," Internet advertising organizations act as a middleman between the advertiser and the Web sites and software publishers that display the ads. measurement and ad tracking technology. The company's latest AdRelevance Intelligence Report, titled "Business Is Booming," examines the growth of B2B advertising online as well as the unique advertising patterns of companies targeting a business audience. A complete version of the report can be viewed online at http://www.adrelevance.com/intelligence/intel_center.jsp. Among the key findings revealed in this month's AdRelevance Intelligence Report are the following:
-- The number of business-to-business companies advertising online has
increased 58 percent over the last four months, compared with an average of
only 17 percent for all other industries (see Table A).
-- In the same period, B2B advertisers have increased ad spending by 66 percent
based on average number of ad impressions per company.
-- In the fourth quarter of 1999, business-to-business banner advertising
accounted for approximately 1.9 billion ad impressions -- or 5 percent of
online advertising overall.
-- The majority of B2B online advertising focuses on technology: 62 percent of
all B2B ads feature such products and services as Web design, e-commerce
security, network hardware, domain registration and related business technology
(see Table B).
Table A: Industry Growth Rates (October 1999 to February 2000)
Increase in No. Increase in Average No.
Industry of Companies of Impressions per Company
-------- -------------- --------------------------
Business to Business 58% 66%
Travel 45% 19%
Software 39% 22%
Retail 30% 26%
Web Media 26% 29%
Financial Services 13% 40%
Telecommunications 6% 45%
Consumer Goods 4% 38%
Automotive -2% 44%
Hardware & Electronics -10% 34%
Terms: "Industry" refers to a sector of commerce; AdRelevance
currently tracks 10 industries to which advertisements are assigned.
"Impression" refers to the number of times an ad is rendered for
viewing by a user.
Table B: Business-to-Business Advertising by Industry Segment
Growth in Companies Change in Share
------------------- ---------------
New Share
Number of Companies Share of Change
Business Segments Companies Since Oct Impressions Since Oct
----------------- --------- --------- ----------- ---------
Web Design/Domain Registr. 107 46 28% -4%
Business Technology 73 6 20% 7%
E-Commerce Support/Security 50 7 14% 4%
Advertising & Marketing 46 19 12% 4%
Equip./Materials Suppliers 55 30 8% 2%
Consulting 71 36 5% -1%
Business Datacommunications 48 17 3% -2%
Business Finance 16 5 3% -3%
Strategies & Information 26 5 2% -1%
Business Portals 20 6 2% -3%
Shipping 3 0 2% -3%
Syndicated Content Providers 4 2 1% 0%
Recruiting 9 4 0% 0%
Terms: "Segment" refers to a grouping of companies according to
the primary focus of their commercial activity. "Share of Impressions"
refers to the number of impressions as a percentage of total
impressions.
According to Charles Charles, archduke of Austria Charles, 1771–1847, archduke of Austria; brother of Holy Roman Emperor Francis II. Despite his epilepsy, he was the ablest Austrian commander in the French Revolutionary and Napoleonic wars; however, he was handicapped by Buchwalter, vice president of media research for AdRelevance, the rapid growth of business-to-business advertising is a natural result of the year-long rush to the Internet by B2B companies forging new ground in e-commerce. "Last year we saw a boom in commercial activity on the Internet as business-to-business e-commerce became the focus of hundreds of companies looking to stake claims in new territory," he said. "Now that so many companies in the B2B sector have a presence online, it makes sense for them to advertise there. It's the equivalent of putting up billboards across from the new industrial park: you reach your customers where they work, and in this case, they're they're Contraction of they are. they're be working online." In fact, AdRelevance data suggests that the majority of B2B advertising is taking place outside the consumer corridors of mainstream Net traffic. Although all industries are more likely to advertise on portals and search engines, B2B advertisers are relatively less likely to do so than their B2C (Business to Consumer) Refers to a business communicating with or selling to an individual rather than a company. See B2B. counterparts. Similarly, business-to-business companies are more likely to advertise on computer/technology, business/finance and general news sites where business-to-consumer companies are relatively scarce (see Tables C and D).
Table C: Site Genres with Higher Concentration of B2B Advertising
Share of Impressions
--------------------
Site Genre B2B All Others Difference
---------- --- ---------- ----------
Computing & Technology 9.9% 3.2% +6.7%
Business & Finance 2.5% 1.1% +1.5%
General News 2.2% 1.8% +0.4%
Table D: Site Genres with Lower Concentration of B2B Advertising
Share of Impressions
--------------------
Site Genre B2B All Others Difference
---------- --- ---------- ----------
Games 1.4% 2.0% -0.6%
Kids & Family 0.1% 0.8% -0.7%
Portal, Community, 78.2% 83.7% -5.5%
& Search Engines
Terms: "Genre" refers to a group of sites with similar content
and/or function. Data for both tables was collected between
January 24-February 14, 2000.
As Buchwalter points out, these numbers correspond to recent Media Metrix data that indicates work users are more likely to browse (1) To view the contents of a file or a group of files. Browser programs generally let you view data by scrolling through the documents or databases. In a database program, the browse mode often lets you edit the data. See Web browser. news, financial and technology sites, while home users frequent portals and search engines. "B2B companies are clearly targeting sites that cater to the work user," he said. "Though the bulk of their advertising dollars are still spent at portals and search engines, they're much more likely to choose business-oriented sites than are advertisers in other industries." AdRelevance Intelligence Reports AdRelevance Intelligence Reports are released monthly and are designed to provide customers, news media, and industry watchers with a timely perspective on the rapidly changing landscape of online advertising. AdRelevance Intelligence reports are compiled by the company's Media Research Group, who analyze an·a·lyze v. 1. To examine methodically by separating into parts and studying their interrelations. 2. To separate a chemical substance into its constituent elements to determine their nature or proportions. 3. data collected from AdRelevance's proprietary ad tracking service. Each member of the team brings industry-specific expertise to their analyses as well as an understanding of marketing strategies and Internet technology. The AdRelevance Service The AdRelevance Service provides Web advertisers, agencies and publishers with marketing intelligence that tells them when, where and how competitors and potential clients are advertising on the Web. Using AdRelevance, Web publishers can generate advertising sales leads A sales lead is the identity of a person or entity potentially interested in purchasing a product or service, and represents the first stage of a sales process. The lead may have a corporation or business associated with the person(s). in real time, while ad agencies and Web marketers can track competitors' Web advertising placements, expenditures and creative. The company tracks over 93 percent of all online advertising and classifies it into 10 industries including automotive, business-to-business, consumer goods consumer goods Any tangible commodity purchased by households to satisfy their wants and needs. Consumer goods may be durable or nondurable. Durable goods (e.g., autos, furniture, and appliances) have a significant life span, often defined as three years or more, and , financial services The examples and perspective in this article or section may not represent a worldwide view of the subject. Please [ improve this article] or discuss the issue on the talk page. , hardware and electronics, retail, software, telecommunications Communicating information, including data, text, pictures, voice and video over long distance. See communications. , travel and Web media. The service enables clients to quickly and easily run reports that illustrate competitive advertising activity by a range of criteria criteria (krītēr´ē n. including advertiser ad·ver·tise v. ad·ver·tised, ad·ver·tis·ing, ad·ver·tis·es v.tr. 1. To make public announcement of, especially to proclaim the qualities or advantages of (a product or business) so as to increase , product, industry, industry segment, Web site location, creative content, time period and technology. Reports can also be run to track impression numbers, unique ads and rate card-equivalent spending. AdRelevance Technology The AdRelevance Service is powered by the company's proprietary Online Media Network Intelligent Agent (OMNIAC(tm)) technology. This technology systematically searches commercial sites on the Web and captures detailed data about advertising 24 hours a day, seven days a week. By evaluating over 3,000 Web sites and sub-sites daily and 40 million page views per month, the AdRelevance Service provides in-depth in-depth adj. Detailed; thorough: an in-depth study. in-depth Adjective detailed or thorough: an in-depth analysis advertising and tracking information unavailable anywhere else. The OMNIAC technology was developed by the company's core development team, including engineers best known for developing the MetaCrawler A metasearch engine from InfoSpace, Inc., Bellevue, WA (www.infospaceinc.com) that was developed at the University of Washington and released on the Internet in 1995. Its technology was acquired by Go2Net, Inc. in 1997 and by the InfoSpace Network in 2000. search technology currently licensed to Go2Net and Jango. About AdRelevance Founded in 1998, AdRelevance, Inc., based in Seattle Seattle (sēăt`əl), city (1990 pop. 516,259), seat of King co., W Wash., built on seven hills, between Elliott Bay of Puget Sound and Lake Washington; inc. 1869. , was Acquired in October October: see month. 1999 by Media Metrix, Inc. (NASDAQ:MMXI), the pioneer and leader in Internet and Digital Media measurement. Using the AdRelevance Service, advertisers gain access to up-to-date intelligence about their competitors' online advertising programs, enabling them to quickly and easily compare and report information by a wide range of criteria including advertiser, product, industry, location, technology and creative content. More information on the company and a free trial of the service is available at www.adrelevance.com or by calling 1-888-649-6540. |
|
||||||||||||||||

Printer friendly
Cite/link
Email
Feedback
Reader Opinion