Online advertising 'has a bright future'

These include firms operating in the telecommunications sector and the research company noted that the "steady upward trend" of companies focusing on the internet for advertising efforts is likely to continue.

Describing long-term prospects for the industry as "bright", Nielsen stated: "One thing is certain: The online medium will continue to outperform other media from an ad revenue and commerce share standpoint as we emerge from the recession."

It also observed that user behaviour has shifted significantly in recent years, with consumers increasingly seeking more specialised content.

As a result, online advertising is expected to focus on areas such as social media and video in order to maximise its reach to potential customers.

Efficient Fontier recently found that search engine marketing is increasingly offering advertisers a significant return on investment (ROI).

Its search engine performance report revealed that ROI was boosted by 25 per cent in the first three months of this year, despite a drop in spending.

Written by Julian Poulter and Copyright "Selling People 2009"