Australian online ad spending hits $3.6bn: IAB

Latest Online Advertising Expenditure Report finds mobile advertising has leapt 190 per cent in the last 12 months

Online advertising expenditure in Australia in the past year to 30 June has leapt 14.6 per cent to $3.6bn, according to the latest Interactive Advertising Bureau (IAB) figures.

The annual Online Advertising Expenditure Report, produced for the association by PricewaterhouseCoopers, found mobile continues to outpace other categories in terms of growth, increasing 190 per cent year-on-year. Search and directories advertising rose by 18 per cent over the same period, while general display was up by 12 per cent.

In its previous March quarter report, the IAB found tablet-based advertising was exceeding smartphone spending within the mobile category, representing 58 per cent of total spend. Over the most recent quarter to 30 June, mobile spend reached $45.9m and again 58 per cent was tablet-based.

One of the surprises over the first six months of the year was that total online advertising exceeded free-to-air television spending for the first time since the report began in 2002. According to the IAB, online expenditure was valued at $1.88bn against $1.8bn on television.

Over the April-June quarter, general display advertising accounted for 27.3 per cent of all online advertising ($265.6m), while classifieds advertising represented 18.9 per cent ($183.3m)and search and directories 53.8 per cent ($523m).

Video display advertising is also on the rise, and increased by 56 per cent year-on-year in the June quarter to $35.7m. In total, online advertising over the most recent quarter totalled $971.9m, up just over 15 per cent year-on-year.

“Achieving $3.6bn in online advertising revenue in a challenging advertising environment is a great result for the industry and the double-digit growth in each of the three digital advertising sectors is exceptional,” IAB director of research, Gai Le Roy, commented.

“As expected, mobile advertising was the star performer as advertisers move their budgets to start matching consumer behaviour. Video advertising growth continues to impress as marketers target the 13 million Australians streaming video content each month.”

Related mobile coverage

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 newsletter!

Or

Sign up to gain exclusive access to email subscriptions, event invitations, competitions, giveaways, and much more.

Membership is free, and your security and privacy remain protected. View our privacy policy before signing up.

Error: Please check your email address.
Show Comments

Blog Posts

How service heterogeneity is impacting engagement

Marketers have long known the importance of standardising products to assure quality and consistency. For services, however, standardisation is much more complex.

Dr Chris Baumann

Associate professor, Macquarie University

Kindness matters in business: why the nice guys finish first

A recent 1000-page Royal Commission report on misconduct in Australia’s financial sector revealed hair-raising stories of excessive commissions, rampant mis-selling and charges levied on the dead. So how do you stop a bank from misleading its customers?

Nick Liddell

Director of Consulting, The Clearing

Myer vs. David Jones: Do cyborgs win?

As two of Australia’s stalwart brands in Myer and David Jones continue their respective journeys through troubled waters, it heralds yet another sign of the shifting business environment and shift towards an experience economy.

Tom Uhlhorn

Founder and strategy director, Tiny CX

nice article

meripadhai

5 things marketers need to do to get better in buy in when presenting

Read more

International business is closely related to marketing or marketing activities carried out by the company. According to Gitman and McDani...

Eko Prasetyo Utomo X

Salesforce: The age of the marketing campaign is over

Read more

Back in 1968 Holden began an appeal to customers who have an interest in competition. It did this with the introduction of the HK GTS 32...

Ben Tate

Marketing professor: For Holden, brand nostalgia ain’t what it used to be

Read more

Your blog post is really good and informative. Thanks for taking time to provide us this useful information with us.Auto wrapping uaeADF ...

Yes Machinery

Image intelligence:10 must-see infographics for marketers

Read more

A debt of gratitude is in order for sharing this marvelous information.I have taken in numerous things from your post

digitech Classes

Lumen CMO strives to make the brand synonymous with anti-ageism

Read more

Latest Podcast

More podcasts

Sign in