Kikabink News

As quoted in Clickz, research firm Javelin Strategy & Research predicts that nearly 20 percent of all online purchases during the holiday season will be paid for using alternative payment methods.

In its report, “2008 Online Retail Payments Forecast”, the research firm quoted such alternatives as prepaid or gift cards, eBay’s PayPal, and eBillMe, an online banking service, as being major winners over the holiday period.

Evidently, the ‘credit crunch’ will see online shoppers to cut down on their use of bank-issued credit cards, while increasing their use of store-branded credit cards and alternative payment methods.

Of the $42.8 billion expected to be spent online during the holiday season, Javelin estimates that or $7.8 billion or 18 percent will be paid using alternative payment methods. By 2012, this is expected to increase to one-third of all online transactions.

Source: Enid Burns, “Consumers Want to Pay Now for Online Purchases, Not Later”, The ClickZ Network, November 11, 2008

A class action lawsuit has been brought against NebuAd and Internet service providers (ISPs) including CenturyTel, WOW, CableOne, Embarq, Knology and Bresnan Communications.

The suit, which was filed in the California Federal District on behalf of 16 plaintiffs, claims NebuAd and the ISPs committed illegal privacy and computer security breaches against Internet subscribers.

The aforementioned ISPs retained NebuAd earlier this year to trial its behavioral advertising platform. In doing so, the complainants allege, NebuAd and the ISPs violated two federal laws (the Electronic Communications Privacy Act and the Computer Fraud and Abuse Act) as well as two California laws (the California Invasion of Privacy Act and the Computer Crime Law).

Source: Zachary Rodgers, “NebuAd, ISP Partners Targeted in Class Action Suit”, The ClickZ Network, November 12, 2008

Local media research firm Borrell Associates has forecasted local display advertising expenditure to grow by 2.5 percent, from around $12 million in 2007 to $12.3 million in 2008.

Borrell also believes local online advertising will comprise a larger share of overall online ad spending in 2009, when local online ad revenues are expected to increase 11 percent over 2008 to be around $13.6 million.

Borrell expects local paid search advertising to grow almost 22 percent in 2009, while national paid search is expected to lose share, dropping from $12.4 million this year to $9.3 million next year.

Source: Kate Kaye, “Local Advertisers Are Glimmer of Hope for Web Ad Industry in Downturn”, The ClickZ Network, October 29, 2008

Local media research firm Borrell Associates has forecasted local display advertising expenditure to grow by 2.5 percent, from around $12 million in 2007 to $12.3 million in 2008.

Borrell also believes local online advertising will comprise a larger share of overall online ad spending in 2009, when local online ad revenues are expected to increase 11 percent over 2008 to be around $13.6 million.

Borrell expects local paid search advertising to grow almost 22 percent in 2009, while national paid search is expected to lose share, dropping from $12.4 million this year to $9.3 million next year.

Source: Kate Kaye, “Local Advertisers Are Glimmer of Hope for Web Ad Industry in Downturn”, The ClickZ Network, October 29, 2008

Research by online ad agency Razorfish indicates that users of social networks don’t mind seeing ads, and are actually rather responsive towards them.

According to Razorfish’s survey of 1,006 people, 76 percent didn’t mind seeing ads when they logged-in to Facebook, MySpace or the other social media sites they frequent. Moreover, 40 percent of the respondents said they made purchases due to seeing those ads.

Razorfish’s survey respondents were “connected consumers” - people with broadband access who spent at least $200 online in the past year, used a community site such as MySpace, and consumed or made some type of digital media including videos and music.

Source: Fred Aun, “Social Networkers Don’t Mind the Ads, Says Razorfish Report”, The ClickZ Network, October 29, 2008