Australian online ad spending reaches over $1bn in one quarter: IAB

Latest Online Advertising Expenditure Report finds spending grew 25 per cent year on year

Online advertising expenditure exceeded $1bn in the September 2013 quarter for the first time, according to new figures from the Interactive Advertising Bureau (IAB). The category also recorded 25 per cent year on year growth since September 2012.

The Online Advertising Expenditure Report (OAER), produced for IAB by PricewaterhouseCoopers, found that display advertising recorded the largest increase with 41 per cent year on year growth reaching $295.6m in the September quarter.

Search and display had figures of $527.4m, while classifieds recorded $193.7m. According to the report, search and display now represents 52 per cent of the total Australian online advertising market, followed by general display (29 per cent) and classifieds (19 per cent).

Mobile advertising makes up 11 per cent of the market, with spending of $110.7m. Fifty-eight per cent of this was search and 41.6 per cent general display. Device category shares were almost equal with smartphones making up 51.4 per cent and tablets, 48.6 per cent.

Video advertising now represents 15 per cent of the total display advertising market with expenditure of $43.1m.

Email display advertising continues to trend downwards. Email advertising expenditure fell to a record quarterly low of $2.1m during the quarter, a drop of 52 per cent compared to the previous June quarter and 63 per cent year-on-year.

In August 2013, the IAB released figures that showed online advertising expenditure in the past year to 30 June rose 14.6 per cent to $3.6bn.

“This report and the recent CEASA data confirm that the overall health of the online advertising market is very robust,” said IAB Australia CEO, Alice Manners.

“We expect that by the end of this calendar year the online advertising sector will exceed 30 per cent of the total advertising market.”

Follow CMO on Twitter: @CMOAustralia, take part in the CMO Australia conversation on LinkedIn: CMO Australia, or join us on Facebook:

Signup to CMO’s new email newsletter to receive your weekly dose of targeted content for the modern marketing chief.

Join the CMO newsletter!

Error: Please check your email address.
Show Comments

Supporting Association

Blog Posts

Building e-motional connections with customers

The warm weather is upon us. It’s a time of year often associated with the blossoming of love and relationships, which has me thinking about how marketing has leaped forward in its ability to build emotional connections with customers.

What happens when the 'market' becomes a 'customer'?

One of the insightful things that has been said to me recently came from an independent consultant working at a major FMCG client. He said: “The problem here is that we have some people who are world-class at marketing to the masses, but they haven’t got a clue about how to speak to a customer.”

3 Metrics to measure B2B content marketing ROI

Content marketing has become a key pillar for marketing departments of all sizes across the world. But how do you measure – and ultimately prove – the effectiveness of the time, money and energy spent on content marketing?

Customer Identity Management is becoming critical for enterprise companies looking to create meaningful interactions with their customers...

Michael Mitrakos

Customer identity management as a revenue driver for CMOs

Read more

Informative comments , I loved the info , Does anyone know if my assistant could get ahold of a blank 2011 IRS 8804 - Schedule A document...


Telstra unveils fresh digital content media services

Read more

So, the one thing I would say is .. the customer already has a voice, whether you wanted them to have one or not .. and they have a platf...

Paul Gilbert

Why digital strategy equals customer experience

Read more

Appliances online are doing a good job online, but they're still not giving customers a truly powerful online experience in my view. Wher...

Graham Howlett

Navigating the future of omni-channel retailing

Read more

For both businesses and marketers alike who want a digital marketing platform that supports data visualization, integrated analytics and ...


Adobe to bolster analytics capabilities of Marketing Cloud with Digital Analytix acquisition

Read more

Latest Podcast

More podcasts

Sign in