IAB: Online advertising expenditure cracks $5bn in 2015

Mobile and video display advertising growth propel general display advertising to new heights

Mobile and video display advertising have boosted general digital display results to their highest share of overall annual expenditure in 2015, the latest Interactive Advertising Bureau (IAB) figures reveal.

Australia’s online advertising market delivered record revenues for the full financial year to 30 June 2015, growing by 19.8 per cent to $5.3 billion, the latest IAB and PricewaterhouseCoopers Online Advertising Expenditure Report found.

Across the board, all online advertising segments chalked up double-digit growth during the financial year, with general display leading growth at 35 per cent.

Video advertising was a big growth area, rising by 98 per cent year-on-year to reach $389m over the 12-month period. According to the report, video now accounts for 16 per cent of all general display advertising expenditure, up from 14 per cent last year.

IAB also noted FMCG was overly represented in video display compared with general display with a 15 per cent share, nearly three times higher than its share in total general display.

Unsurprisingly, mobile advertising also increased 84 per cent to reach $1.1bn over the same period. This ensured digital became the dominant advertising category for mobile in the June quarter of 2015, IAB stated.

Across the mobile category, smartphone advertising increased its share of total mobile advertising to 66 per cent in 2015. Mobile display also represented 37 per cent of general display expenditure during the final quarter of the 2015 financial year, up from 22.5 per cent from the 2014 June quarter.

As a result of mobile and video, IAB said general display achieved its highest share of overall annual advertising expenditure at 33 per cent. In comparison, search and directories softened slightly to 48 per cent, and classifieds were steady on 19 per cent.

“Consistent year-on-year double-digit growth over the past decade is testament to the rewarding relationship marketers are building with consumers through interactive media and shows the vital role interactive advertising now plays in the marketing mix,” commented IAB Australia’s CEO, Alice Manners.

IAB also pointed to the latest CEASA data for the six months to 30 June 2015, which showed online advertising accounting for 41.3 per cent of total advertising revenue, up from 36 per cent in the previous report.

Follow CMO on Twitter: @CMOAustralia, take part in the CMO conversation on LinkedIn: CMO ANZ, join us on Facebook: https://www.facebook.com/CMOAustralia, or check us out on Google+: google.com/+CmoAu

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

Sustainability trends brands can expect in 2020

​Marketers have made strides this year in sustainability with the number of brands rallying behind the Not Business As Usual alliance for action against climate change being a sign of the times. While sustainability efforts have gained momentum this year, 2020 is shaping up to be the year brands are really held accountable for their work in this area.

Ben King

CSR manager & sustainability expert, Finder

The trouble with Scotty from Marketing

As a Marketer, the ‘Scotty from Marketing’ meme troubles me.

Natalie Robinson

Director of marketing and communications, Melbourne Polytechnic

How do we break out of our marketing echo chambers?

Clients and agencies can get stuck into a particular way of behaving and viewing the world, but there are ways to break out of our marketing echo chamber.

Steve O'Farrell

Managing Partner, The Royals

Instagram changes algorithms every time you get used to them. It really pisses me off. What else pisses me off? The fact that Instagram d...

Nickwood

Instagram loses the like in Australia; industry reacts positively

Read more

I tried www.analisa.io to see my Instagram Insight

Dina Rahmawati

7 marketing technology predictions for 2016

Read more

The saying is pretty tongue in cheek. It's not saying that marketers are bad people, nor that they don't take themselves seriously. There...

LYF Solutions

The trouble with Scotty from Marketing - The CMO view - CMO Australia

Read more

Given Scotty's failed track-record in the marketing realm the memes and the ridicule is very apt and is in no way a reflection on marketi...

denysf

The trouble with Scotty from Marketing - The CMO view - CMO Australia

Read more

alone quotes

RB Forever

5 CMOs reflect on 2019, achievements and lessons learnt

Read more

Latest Podcast

More podcasts

Sign in