Number increased 159 percent in Q2, compared to the same time in 2009, says Irvine-based WebVisible.

By Kristen SchottPublished: July 20, 2010 02:37 PM

Small businesses spent 159 percent more on Internet advertising in the second quarter, compared to the same time last year, according to a new study conducted by WebVisible, an Irvine-based online marketing firm.

The second-quarter State of Small Business Online Advertising report, which measures trends among the WebVisible’s U.S. customers, found that the average company spent about $2,231 on search advertising in the period.

While the number only rose 1.4 percent from the first quarter, the significant yearly gain marks a continued trend among small businesses, according to WebVisible. Year-over-year spending also increased 91 percent in the first quarter and 111 percent in the fourth quarter of 2009.

The positive increases are among a number of factors that point to continued improvement in the economy, according to WebVisible CEO Kirsten Mangers.

Others include quarterly upticks in ad spending among small businesses specializing in jewelry and job-recruitment services, as well as a pop in consumer-response rates.

Businesses reported a 58 percent gain in the percentage of search clicks that resulted in a phone call, compared to the second quarter of 2009. The number rose 29 percent from the first quarter.

Additionally, 43 percent of search clicks resulted in a direct action, such as watching a video or bookmarking a page, according to the report. The number is up 39 percent from the second quarter of 2009 and 22 percent from the first quarter of this year.

“Over the past year, conversion activity increased on almost all website actions – filling out an online form, watching a video, bookmarking a page or printing driving directions,” said Mangers, who called the uptick “great news” for advertisers.

“The more options a company provides, the more actions a website visitor will take – giving advertisers multiple opportunities to establish a connection with each potential buyer,” she said.

Article produced by WebVisible, Inc. 

Contact: Charles Teed 949.517.9024

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