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: https://www.facebook.com/CMOAustralia

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

Taking issue with ‘Branzac’ advertising

Commemoration of the 100th anniversary of the Anzac landing at Gallipoli has not only been a time to ponder a tragedy that affected too many Australian and New Zealander families, it also shone the headlights on the whole marketing profession.

Data privacy, ethics, and the moving goal posts

Customers are becoming increasingly concerned with how businesses use their data. This has meant organisations need to take extra steps to allay the concerns their customers have with what data they are collecting, how is it stored, and how is it then used.

Why there’s more to content marketing ROI than just numbers

Most brands are producing more content than ever before. Even those still operating predominantly in campaign mode are finding social media demands an always-on content pipeline.

Jacki James

strategic planner, Zuni

The next Advertising medium is Augmented Reality, Just when individuals thought promotions couldn't get any more interactive and close to...

Siddhu

The old billboard gets the flick as digital OOH advertising takes over

Read more

Augmented Reality is the most immersive and interactive medium at today and that works for all kinds of real world requirements. It allow...

Siddhu

Sunny Queen launches egg-citing augmented reality collectible cards

Read more

It's really helpful that you were able to share this kind of information in order for some people to know on what is this kind of word re...

best essay sites

It's time for CMOs to embrace ‘agile’ as a noun - Technology chief - CMO Australia

Read more

You nailed it Mark, not nice, not popular but true.

CruiseFactoryData

CMO Council: Marketers lack right customer metrics for digital transformation

Read more

An insightful post and I wholeheartedly agree that without clearly defined business goals any content strategy will be ineffective. The d...

Alastair Kane

Why there’s more to content marketing ROI than just numbers

Read more

Sign in