Posted by & filed under Display Advertising, e-commerce, PPC, Search.

Spending on online advertising in the UK has grown 10 times faster in the past year than the overall amount dedicated to all forms of ads.

The amount spent on all forms of online advertising rose by 11.1 per cent in the first quarter of 2012, compared with the same period a year earlier.

Yet overall advertising budgets grew by just 1.1 per cent over the same period, according to a quarterly report from the Advertising Association and market intelligence company Warc.

The report forecasts that £16.8billion will be spent on all types of advertising in the UK this year, with a further rise in 2013.

It believes that online advertising “is expected to remain strong throughout the year”, and by the end of the year will account for £5.3billion of than £16.8billion total.

Tim Lefroy, chief executive of the Advertising Association, said: “In the face of global economic uncertainty, UK advertising holds a steady course.

“Evidence shows that advertising invigorates GDP growth, so a healthy ad market is good news for the whole economy, not just advertisers.”