Advertisers are aware of the value that locally-targeted ads offer and are willing to pay extra for them, one expert has said.

Matt Booth, senior vice-president of Interactive Local Media, BIA/Kelsey, stated that "depending on the geography and vertical", online marketing services will pay a premium of up to 100 per cent for this type of advertising.

His comments were made as comScore unveiled a new study that estimated one in ten display ads in the US are targeted at a local audience.

The report was based on research in the key markets of San Francisco, Atlanta, Chicago and Washington DC, where ten per cent of all display ads fell into this category.

Brian Jurutka, comScore’s vice-president, said: "Locally-targeted ads are an increasingly important component of the digital ad landscape because they represent a more efficient allocation of ad dollars."

Despite this, however, recent research from his company and Starcom USA revealed the number of US consumers who click on display ads has halved in the last two years.

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