Revenue of Craigslist for this year was calculated

Classified advertising industry consultants Advanced Interactive Media Group conducted an analysis which showed that Craigslist, one of the Internet's top sites for classified ads, continues enjoying much success while newspapers and other marketing-driven media are reeling from huge revenue losses.

According to the AIM’s report Craigslist's revenue is about to increase by 23% this year to $100 million for the first time. And while the company does not charge for most ads it still charges for ad listings in major US markets. Most of the money comes from help-wanted ads. Meantime newspapers' total revenue from the classified advertising in print editions has waned from a peak of nearly $20 billion in 2000 to about $10 billion last year.

AIM Group says that Craigslist's annual revenue has risen from just $7 million in 2003 to $81 million last year. The experts says that based on its count of paid ads appearing on Craigslist in recent months, the company's revenue should be about $100 million this year.

$85 million of Craigslist's revenue will be reached through employment advertising this year with housing ads accounting for about $9 million and adult-only ads - nearly $4 million.

More than 40 percent of Craigslist's revenue is expected to be generated from listings in three cities - New York ($17.7 million), the San Francisco Bay area ($14.4 million) and Los Angeles ($12.6 million), according to the AIM Group. The analysis found paid ads in 19 other of the more than 570 cities covered by Craigslist worldwide.

If Craigslist charged to place ads in more cities, AIM Group principal Peter Zollman believes it could easily double or triple its revenue.