Study: Online Advertising Increases, CPMs Decrease

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The number of Internet sites seeking to buy online advertising at the end of 1999 grew 135 percent compared to 1998, according to Engage Technologies' AdKnowledge "Online Advertising Reports."

While demand is up, the cost per CPM is down. The average rate fell 4 percent in 1999. This appears to be a trend as rates had slipped 6 percent in 1998. The average CPM rate was $33.75 in fourth-quarter 1999. AdKnowledge, Palo Alto, CA, compiled the survey information from more than 3,000 sites.

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