Small advertising companies are approaching the optimal level of advertising spending

According to WebVisible’s latest quarterly report, although small businesses continue to spend more on search engine advertising than last year, growth is slowing.

Data from the report for which more than 12,000 small businesses were surveyed, the average advertiser spent an average of $ 2,327 on paid search ads in the third quarter of 2010, an increase of 43% over the same period last year. 2009. However, these data reflect a slower growth rate than that experienced in the previous quarters when the average spending of advertisers increased by 91 percent and 159 percent during the first and second quarters of the year, respectively.

According to the report, this lower and slower growth rate could serve as an indicator that small advertising companies are approaching an optimal level of spending necessary to achieve the desired results.

Jon Rosen, Responsible for accounts and revenue of WebVisible, said that “although the report reflects the experiences of the company’s own customers, we consider that this trend is representative of what happens in the industry in general.”

“We are emerging from the worst economic crisis since the Great Depression, and all advertising budgets were reduced, however, in 2008 marketing and search advertising continued to grow and during 2009 and 2010, the recovery has evolved quarter to quarter and advertising spending oline continues to grow ”

The study also highlights other important findings and indicators, such as a 41% increase in keywords in search engine advertising that advertisers bid on, representing an average of 78 words per advertiser.

Similarly highlight the increase in use of video as advertising support for almost 30 percent of advertisers. More than double the number of advertisers who used this support only one year ago.