Report: U.K. leads world in Internet advertising

When I read the headline I did a double take - Britain leads the way in online advertising: 40% annual growth dwarfs the rate in U.S. market, where television reigns.

Really?

The conventional wisdom is that the U.K. lags the U.S. by about 18 to 12 months in adopting web technologies (Canada exists about on par with the U.K. or +/- 6 months). Now they’ve leapfrogged North America to lead in embracing Internet advertising? WTF indeed.

Online advertising is racing ahead in Britain, growing at a roughly 40 percent annual rate, and it is expected to account for as much as 14 percent of overall advertising spending this year, according to media buying agencies.

That is the highest level in the world, and more than double the U.S. percentage.

...

“Every pound withdrawn from traditional media either to be saved or spent online, where supply is in handsome surplus, exerts more deflationary pressure on the total market,” Group M said in a recent report on the British ad market. “And if online proves more productive, advertisers have the option of investing less.”

That, combined with the group at Next Wednesdays creating killer conversations about where the whole networked media / technology / creativity / advertising mess is headed, and I’m thinking about visiting across the pond. Maybe in the spring.

I’m posting the article above to illustrate slow, fearful and laggard Canadian business are with regard to Internet advertising. We’re behind and falling further back; purposefully, with great consideration and trepidation, with a ton of humming and hawing and not nearly enough half measures.

Why?

Canada has one of the highest penetration rates for broadband Internet in the world. Our advertising audiences are both local and national. We’re well wired and open to using the web to connect, shop, communicate, etc. Why do Canadian businesses refuse to invest in the web?

Some thoughts on that very question tomorrow…