The Internet advertising market is growing fast despite mounting skepticism about how far and effectively flashing banners reach online audiences.
Yahoo! Korea, a leading directory portal (kr.yahoo.com), has posted revenues of 3.6 billion won from its online advertising in the first quarter. The figure has already surpassed the halfway mark of last year's total 6.3 billion won.
Yahoo! Korea also attracted ad reservations valued at 11 billion won during the period, nearly doubling the expected amount of revenue from a year earlier thanks to the explosive demand.
The company expects to earn as much as 25 billion won from online advertising alone.
Daum Communications Corp. (www.daum.net) follows with ad revenues of 3.1 billion won in the first quarter, which is more than 60 percent of what the domestic portal earned from online advertising last year.
Online advertising accounted for about 60 percent of Daum's total revenue last year but the portion has quickly expanded to around 77 percent during the first quarter of this year.
Daum officials said the company is upwardly adjusting its expected ad revenues to meet the rising demand from other dot-com firms.
Lycos Korea (www.lycos.co.kr), a portal service provider, also saw its ad revenue sharply rise to two billion won in the first quarter. The company collected a total of 3.5 billion won from its online advertising last year.
Lycos officials said its advertising revenue is forecast to reach 20 billion won since its sales partnerships with small online sites such as Oh My Love and Love Hunt are driving up the number of page views to around 33 million.
Netian (www.netian.com), a homepage host, said its advertising revenue is also expected to reach four billion won, up from the billion won of last year.
Given that a majority of dot-com ventures begin to pour their marketing and advertising resources in the second half of the year, ad revenues are forecast to jump beginning in …