You've all heard that online advertising is losing favor because not enough people click-through and proceed to buy products and services online. Now comes word from an InternetNews.com advertising report that there is a payoff to Web ads and online product information: $53.6 billion in Internet-influenced offline sales, no less.

The main effect of Web advertising seems to lie in the "branding" arena, i.e. promoting and instilling a positive image of a particular company or product in the mind of the consumer. Thus influenced, such a consumer is more likely to actually purchase the product when encountering it in a retail setting. According the Internet news,

"The study comes as evidence mounts in favor of online advertising's branding capabilities. Earlier this week, Jupiter Media Metrix released a report concluding that marketers undervalue the potential of Web-based branding efforts."

Comments: The Internet continues to expand and become more and more integrated in everyday life. That alone should deter thoughtful observers from prematurely dismissing it as a medium for, well, just about anything! The information-sharing aspect of the Internet is relevant to the study cited above, and we think variations on this theme will only continue to grow in importance.