In our last quarterly report we had noted that with the economic recovery, advertisers in the retail sector had started to loosen their purse strings. Between Q2 and Q3, retail spending had increased 6.25%. Based on the numbers we were seeing, we had predicted double digit growth in SEM retail spend for Q4.
Our latest numbers show that this indeed might be the case. Between September and October, SEM spend in a subset of Efficient Frontier’s retail advertisers grew 24%. The biggest gainers were large advertisers spending more than $300,000 per month. Medium advertisers, who spend between $100,000 and $300,000 per month) and small advertisers (<$100,000 per month) also increased spend by 10% MoM. In contrast, spend grew by only 5% overall for the same period last year.
While the signs are very promising, the coming months will tell us whether this momentum can be sustained through the holiday season.
Dr. Siddharth Shah
Very interesting data, Siddharth; thanks for sharing it.
Posted by: Chris Zaharias | November 06, 2009 at 07:42 AM