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Canadian Online Ad Spending Heats Up

Canadians really “get” the Internet, but ...

“Canada’s online development has been a paradox,” says Karin von Abrams, eMarketer senior analyst and author of the new report Canada Online Advertising. “The country has one of the best broadband infrastructures in the world and higher household Internet penetration than the United States.”

“The online population is engaged, tech-savvy and independent-minded. Canada is home to a cutting-edge computer games industry, assisted by substantial tax breaks. The size of the country and its pioneer heritage encourage efficiency and progressive thinking,” says Ms. von Abrams.

“Yet Canadian companies have generally been slow to advertise online.” According to a number of sources, Internet advertising and marketing accounted for little more than 5% of total advertising spending in Canada in 2006.

“This in a nation where three in five online homes used a broadband connection, at a time when Internet users spent more than 13 hours online each week,” says Ms. von Abrams.

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