Move over Print Media…the new King has arrived!

And it is advertising on the internet.

Get this – Full year 2010 US internet advertising revenues was a record $26 billion, up 15% from 2009 and Q4-2010 revenue was also a record at $7.45 billion, up 19% from Q4 2009 and 15% from Q3 2010.

The recent PricewaterhouseCoopers PwC and the IAB Internet Advertising Revenue Report for the full year 2010 and Q4 2010 both show record results in the United States, specifically that the most popular ad format in 2010 was “search” – 46% of revenue and up 12% from 2009. Sponsorships were up 88% from 2009 to 2010 and  142% increase in the fourth quarter alone.

PwC also finds display-related advertising – which includes Digital Video Commercials, Ad banners/display ads, sponsorships and rich media was $10 billion, up 24% over 2009. And an estimate of US mobile ad revenue for 2010: between $550 and $650 million.

What has happened – no secret – brand advertisers and marketers have adopted digital media front and center in their campaigns as consumers have rapidly shifted to digital media, even watching TV shows and movies online. And even with a soft economy, interne advertising zoomed up showing continued focus on digital media ad spend, with dollars catching up to the eyeballs.

PwC/IAB finds five consecutive quarters of growth since the great recession impacted interactive advertising in 2009, showing interactive advertising has weathered the storm and then some.

Some more fun facts:
In terms of ad format, search leads the pack, followed by classifieds, lead generation and email.  Within display-related (which itself is losing share), ad-banners are leading but losing ground, digital video commercials are small and shrinking; and rich media is generally flat.

In terms of pricing models, performance based is the leader but its market share is falling fast, but interestingly impression based is staying flat in revenue terms but gaining in market share.

Clearly, the internet is the place to be for marketers, advertisers and brand managers. Digital media has extended its reach everywhere and consumers are being chased there as well. Internet advertising is a bright spot in an otherwise tightfisted business world. A 26% rise is a remarkable increase for a medium that was barely making a dent on print just a few years ago.

And we read somewhere that just recently, internet did overtake print in terms of advertising share. With newspapers getting slimmer and losing traction fast, don’t be surprised if they disappear altogether and get displaced by Kindles and Nooks and smart phones.

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