Study: click-through rates halved in last two years

LONDON - The number of people clicking on display ads has halved in two years, as consumer wallets have emptied and ad budgets have been slashed.

Banner ads have to be more creative than ever
Banner ads have to be more creative than ever

Just 16 per cent of US internet users click on display ads, with eight per cent accounting for 85 per cent of all clicks, according to the most recent 'Natural Born Clickers' report by ComScore.

In 2007, 32 per cent of users clicked on ads and 16 per cent were responsible for 80 per cent of all clicks. But the rate has halved since then as consumers' purchase intent has decreased and slashed ad budgets mean brands are shunning innovative creative executions.

Focusing on the click ignores the 84 per cent of internet users who never click and the 90+ per cent of category site visitors who were exposed to ads but did not click, according to ComScore.

The research firm said that advertisers need to move away from this metric and start measuring the success of a campaign against its actual objectives such as awareness, preference and sales.

The research comes as the IAB reveals that display advertising only makes up 18 per cent of online advertising in the UK, totalling £317m, compared to £1.05bn spent on search marketing in the first half of 2009.

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