GCC online advertising spending to grow 50%

Abu Dhabi: The total spending on advertising on the internet this year in the Gulf Cooperation Council (GCC) countries and Levant is estimated at $100 million (Dh367.3 million) and is likely to grow by another 50 per cent in 2011, the regional vice president and managing director of global online media and communications company Yahoo said yesterday.

"We have the biggest market share in advertising today and would like to maintain that leadership by re-targeting the user within the Yahoo network, through behavioural targeting and by tapping new users," Ahmad Naseef told Gulf News on the sidelines of Internet Show Middle East 2010. at the Abu Dhabi National Exhibitions Centre.

He said Yahoo is developing its Arabic language services to tap into the 60 million-strong online population in the Arabic-speaking world, which is set to go up to 100 million over the next two years.

"Our target is everyone who is online. We will be leveraging Yahoo's strengths in surfacing, packaging and discovery of content," Naseef added.

Revenue growth

He said despite 2009 being a tough year for the advertising industry, Yahoo's online revenue in the region went up by 60 per cent compared to 2008.

"Currently only about 1 per cent to 2 per cent of the advertising budgets are going to online in the GCC region. But it's going to be 4 per cent to 5 per cent very soon as the consumers are there," Naseef said.

He said the internet is the cheapest medium for advertising and adverisers know that.

"Our sales pitch to an advertiser is — your ad is seen by the consumer you are looking for."