Important role for Germany

According to eMarketer Britain may lead Europe in Internet penetration, online advertising spending and e-commerce revenues, but Germany has the largest online population. At the center of the continent, Germany—with its technical expertise—will play a critical role in Europe’s online future.

While consumers and advertisers in Britain were generally quick to explore the benefits and potential of the online channel, many Germans, and German businesses, took time to go online. One reason is that, socially and commercially, Germany is quite conservative. Practicality is a virtue, and established leaders in many industrial sectors are not inclined to pursue innovations in advertising and marketing until they are proven to bring results. But now the tipping point has arrived. In 2007, eMarketer projects that German online ad spending will reach €2.4 billion ($3.29 billion), and growth will continue at double-digit rates, taking online spending to €3.5 billion ($4.48 billion) in 2010.