Cynics who claimed online ads would have no staying power might want to bite their tongues. Why? Turns out, online advertising spending just hit a record high in the first quarter with a total of $7.3 billion spent.
The amount represents a 23% increase from $5.9 billion in the first quarter of last year, the Interactive Advertising Bureau and PricewaterhouseCoopers reported Thursday.
This news comes on the heels of a record-setting 2010, where revenue totaled $26 billion – a 15% jump over 2009.
“The consistent and considerable year-over-year growth we’re seeing demonstrates that digital media is an increasingly popular destination for ad dollars, and for good reason,” said IAB chief executive Randall Rothenberg, reports AFP.
Helping to boost online sales is most likely the growing amount of time people are spending on heavily trafficked sites such as Facebook, Twitter and Netflix. Thus, digital ads and marketing are one of the most effective tools that businesses can have to draw and keep customers, Rothenberg said.
Remember when the economy was so lousy that even the Internet – of all places – was feeling it? It seems those days may be behind us.
More on TIME.com:
DVD Sales Plunge in U.S., Digital Sales On the Rise