11% of businesses in the US use PPC

March 9, 2004

Source: eMarketer

The Kelsey Group and ConStat find 11% of small- to medium-size enterprises (SMEs) in the US are currently using pay-per-click (PPC) online advertising -- 54% of whom plan to increase their PPC activity next year.

Another 34% are interested in the technology. Of those people, 73% say they will use the online ad vehicle within the next year.

Kelsey and ConStat surveyed 460 advertising decision-makers at SMEs and found that those who are participating in PPC advertising are allotting 23% of their ad budgets to the vehicle.

It is important to have an idea of where the SME advertising market is headed, as SMEs have historically turned to yellow pages for advertising. In October 2003, the Kelsey Group reported that SMEs put 46% of their total ad spending towards yellow pages.

Web sites followed with 11% of ad spending while search engine keywords claimed just 3% of spending just five months ago.

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