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Small Businesses Increase Online Spending

Written by Ken Gaebler
Published: 11/30/2009

WebVisible reports shifts in search engine advertising this quarter.

With low predictions for holiday sales in the news, for small business owners it seems spending more on internet marketing is a viable remedy. WebVisible reports that SMB search advertising has dramatically increased in the third quarter of 2009.

According to the source, SMB search advertising spending was up 91 percent this year, and 93 percent this quarter. SMBs spent an average of $1,658 on search advertising and bought an average of 55 keywords last quarter.

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The increase in SMB search advertising spending is good news for some of the underdog search engines; according to the report, Google lost some 5 percentage points last quarter, while Bing gained 2.9 percentage points.

Bing also reportedly served SMBs the highest click through rates of any search engine. Yahoo, though still lower than Google in click through rates, improved by a remarkable 123 percent this year.

While the WebVisible report reveals dramatically increased online advertising efforts, the news is likely unsurprising for many SMBs. A VerticalResponse survey from early November reported that more than 45 percent of SMB owners planned to increase search marketing in 2010.

Moreover, according to the Internet Advertising Bureau, the internet is the only medium to show advertising growth in these economic hard times.

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